After a high-velocity July that saw more than $6 billion worth of tokens hit the market, the pace of token unlocks is set to cool considerably in August. According to projections, just around $3 billion in token unlocks are expected this month—nearly half of July’s volume.
While the overall slowdown could ease some sell-side pressure in the altcoin market, investors shouldn't get too comfortable. A handful of notable projects still have significant unlocks scheduled, with $SUI and FTN topping the list.
Why it Matters
Token unlocks—especially for early investors, team allocations, or ecosystem funds—often lead to increased volatility as newly liquid tokens enter the market. This can trigger price fluctuations, particularly in tokens with lower trading volumes or limited liquidity.
Spotlight on SUI and FTN
SUI$SUI , a Layer 1 protocol backed by major Web3 players, is set to release a substantial portion of its token supply. With a growing DeFi footprint, its unlock could influence broader sentiment across the L1 space.
FTN, which has quietly climbed in prominence, will also be releasing a sizable tranche of tokens. Investors should watch for signs of accumulation or distribution leading up to the event.
What to Watch
Price Action: Historical patterns show that price often dips leading into large unlocks, followed by either a rebound or further selloff depending on broader market sentiment.
Liquidity and Volume: How these tokens are absorbed post-unlock will indicate market strength.
Tokenomics: Not all unlocks are bearish—projects with solid fundamentals and ongoing utility can weather unlock events more smoothly.
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TL;DR: August may bring some relief from the token unlock pressure of July, but SUI and FTN remain key names to watch. With ~$3B in scheduled unlocks this month, selective volatility could still present both risk and opportunity for sharp-eyed trader #altcoins l#SUI #FTN #DeFi
