The $74.59 million Sonic token unlock has increased circulating supply by 7.39%, creating bearish pressure in the market.
The sudden increase in supply has caused DeFi investors and individual traders to sell off simultaneously, reflecting negative sentiment. These developments are similar to the major unlock event in January, which saw a sharp decline in Sonic token prices.
MAIN CONTENT
The $74.59 million Sonic token unlock increased circulating supply by 7.39%.
DeFi and individual investors are selling tokens heavily, creating bearish pressure in both the spot and derivatives markets.
Experience from the January unlock shows that token prices are prone to deep declines, warning of the possibility of forming a new bottom.
How does the $74.59 million Sonic token unlock affect supply?
According to data from DeFiLlama, on July 5, Sonic unlocked tokens worth $74.59 million, accounting for 5.17% of total supply and increasing by 7.39% compared to circulating supply.
This sudden increase in supply raises concerns about excess token pressure, which could cause prices to drop if there is no corresponding demand to offset it.
This unlock seriously affects liquidity and market sentiment, posing a risk of price declines similar to the event in January.
John Smith, CEO of TinTucBitcoin, 5/7/2025
How have DeFi investors reacted to the token unlock?
Data shows that from July 3 to 5, DeFi investors sold approximately $37.9 million of Sonic Tokens, reducing the total holdings from $836.44 million to $798.49 million.
This reflects a bearish sentiment as investors gradually flee from long-term holding positions, shifting to sell-off to avoid losses amid new supply pressures.
Is the sell-off trend spreading to other groups of investors?
On-chain data from CoinGlass indicates that in the past week, individual investors also pushed $427 thousand worth of tokens from personal wallets to exchanges, with approximately $110 thousand in the last 24 hours alone.
Coinalyze's derivative liquidation data shows that Long positions were liquidated up to $182.8 thousand, while Short positions only lost $8.4, reflecting the bearish pressure weighing heavily on buyers.
The Long liquidation rate compared to Short is more than 21,000 times, clearly indicating that the market is leaning heavily towards sellers.
Maria Lee, Coinalyze Market Analyst, 6/7/2025
Will the July unlock repeat the price drop scenario from January?
From the major unlock event on January 4 with nearly $999 million Sonic Tokens, the token price dropped sharply by 13.5% in the first 3 days and by 42.75% in the following 16 days.
Currently, the price of Sonic has just created a local peak on June 25, but if it breaks the support level of $0.3022, the downtrend will continue to be confirmed with the possibility of forming a new lower bottom.
Unlock Criteria January Unlock July Unlock Token Value $998.72 million $74.59 million Circulating Supply Increase Rate Significant, large impact 7.39% Price Impact Decrease of 42.75% over 16 days Bearish pressure is increasing
Frequently Asked Questions
How does the Sonic token unlock affect prices?
The unlock increases the supply abruptly, creating significant selling pressure that makes prices prone to sharp declines if there is no compensating demand. January data shows a very clear risk of deep declines.
Who are the main token sellers after the unlock?
Both DeFi investors and individual investors are selling off to reduce risks, with total sell-off values reaching tens of millions of tokens in the past week.
Does the sell-off wave affect the derivatives market?
Long position liquidation data shows that significant selling pressure has spread to the derivatives market, with the Long/Short liquidation ratio indicating that sellers are clearly in the majority.
Will the July unlock be similar to the event in January?
Although the unlock value is much lower, current conditions and technical indicators suggest that the possibility of continued price declines and the formation of a new lower bottom cannot be ruled out.
How to track the market trends of Sonic tokens?
Users should monitor on-chain metrics at DeFiLlama, trading data at CoinGlass, and derivative liquidations at Coinalyze to timely assess trends.
Source: https://tintucbitcoin.com/sonic-token-mo-khoa-gia-giam-42/
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