Aptos price has slipped more than 5% in the past 24 hours as many cryptocurrencies show weakness in line with the broader stock market. Today’s breakdown saw the APT/USD pair continue below the key support zone at $5.00 for the first time since September 11 when it dipped to lows of $4.90 across major cryptocurrency exchanges. Aptos price touched lows of $4.88 on Coinbase.
One major upcoming Aptos news event this week is the huge APT token unlock expected on October 12. It’s a scenario that could see volatility play a part in APT price. A similar outlook could be observed for other tokens facing significant unlocks in the week of October 9-16, including CYBER, FLOW, SWEAT, GLMR and 1INCH.
Weekly Cliff Unlocks : 9-16 Oct 2023
$37.92m unlocked this week 🗓️🔓
7 tokens have cliff unlocks this week.
🚨 Highlights: $APT 🚨$APT 1.89% – $23.71m 🌟$CYBER 11.42% – $6.22m$FLOW 0.7% – $3.21m$SWEAT 2.95% – $2.29m$GLMR 1.28% – $2.04m$EUL 0.8% – $0.39m#1INCH <0.01% -… pic.twitter.com/J84lgeVWCz
Even as crypto analysts maintain a bullish perspective for Bitcoin and crypto, the current outlook for APT suggests further weakness given the potential impact of geopolitical events on markets in general. In this case, a dip for the top coin Bitcoin could signal fresh downward moves for altcoins.
For APT, one possible catalyst for downward volatility could be the upcoming token unlock scheduled for October 12.
As with the mentioned dip to lows of $4.90 in September, the Aptos community could see APT price suffer negative action when millions of APT are unlocked into the market.
According to Token Unlocks, a total of $37.92 million in token supply will be unlocked this week, with seven tokens scheduled for what the tokenomics insights platform says are “cliff unlocks.” Aptos will account for more than $23 million of this week’s unlock.
Specifically, Aptos will release 4.54 million APT into the market, with the unlock accounting for roughly 1.9% of the cryptocurrency’s circulating supply. Such a large release of tokens is likely to result in a buildup of selling pressure for APT.
It’s worth noting that 3.21 million of the unlocked tokens will go to the community, while 1.33 million is for the foundation. Given ecosystem dynamics, the most likely sell-off pressure could come from the community holders who may seize upon the allocation to target profit taking deals.
Aptos price on the weekly chart. Source: TradingViewA breakdown below intraday lows of $4.95 could allow bears to target the year-to-date low of $3.40. The outlook is strengthened by the price remaining within a macro downtrend since the peak above $20.30 in January, 2023.
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