Sizable Gaming Token Unlocks Could Impact the Market in March
Sizable chunks of tokens tied to crypto games or gaming platforms could come onto the market in the coming weeks. Nearly $250 million worth of gaming tokens are set to be unlocked by the end of March, per data aggregated by Token Unlocks.
Crypto projects often lock away sizable portions of their token supplies years in advance, which means that tokens intended for developers, investors, community funds, and other groups get unlocked in waves over time. Crypto traders and investors watch these unlock schedules closely, as a flood of additional tokens on the market often impact their price.
ApeCoin Unlock: March 16
ApeCoin (APE)—the Ethereum token tied to the Bored Ape Yacht Club ecosystem including the Otherside metaverse game—is set to unlock 15.6 million APE on March 16. That’s about $38.2 million worth at the current price, and represents 2.55% of the current circulating supply.
PIXEL Token Unlock: March 19
Just one month after launching, the PIXEL token from Ronin farming game Pixels will hold its first unlock following the token generation event. On March 19, 54.38 million PIXEL will unlock, representing just over 7% of the circulating supply. That’s $42.5 million worth of the token, which hit a new all-time high price over the weekend.
IMX Token Unlock: March 21
IMX, the token of Ethereum gaming platform Immutable, represents the largest gaming token unlock in March, with 34.19 million IMX set to unlock on March 21. That’s about $117.3 million worth at the current price and is equal to just under 2.5% of the current circulating supply. IMX also hit a two-year high last weekend.
Other Notable Gaming Token Unlocks in March
Other notable gaming token unlocks this month include:
- The YGG token of Yield Guild Games, with 16.69 million tokens—or about $15.9 million worth—unlocking on March 27.
- NFT card game Parallel will unlock 1.66 million PRIME tokens on March 30, representing $32.1 million worth amid the token’s recent surge to another all-time high price.
- Move-to-earn game Stepn’s GMT token will begin a 30-day linear unlock on March 31, with 3.32 million GMT opening up per day—that’s $1.23 million worth at the current price.
Hot Take: How Will These Unlocks Impact the Market?
The upcoming gaming token unlocks in March have the potential to impact the crypto market in various ways:
Increase in Token Supply
As these gaming tokens get unlocked and enter the market, there will be an increase in their overall supply. This influx of tokens may lead to greater liquidity but could also result in downward pressure on prices as supply outpaces demand.
Price Volatility
With a significant number of tokens being released into the market, it’s likely that there will be increased price volatility for these gaming tokens. Traders and investors should expect sudden price fluctuations and be prepared for potential buying or selling opportunities.
Impact on Project Ecosystems
The unlocking of tokens can have a direct impact on the project ecosystems tied to these gaming tokens. Developers, investors, and community members may have access to a larger pool of tokens, which could be used for various purposes such as staking, voting, or trading. This could influence the overall dynamics and governance of the projects.
Market Sentiment
Investor sentiment plays a crucial role in the crypto market. The unlocking of gaming tokens can affect market sentiment, especially if there is a perception that the increased token supply will dilute the value of existing holdings. Traders and investors should closely monitor market sentiment during these unlock events.
Opportunities for Traders
While token unlocks can introduce volatility, they can also create opportunities for traders. Increased trading volume and price movements provide potential avenues for profit. Traders should carefully analyze market conditions and consider their risk tolerance before engaging in trading activities during these unlock periods.
Conclusion
The upcoming gaming token unlocks in March have the potential to bring significant changes to the crypto market. With nearly $250 million worth of gaming tokens set to be unlocked, traders and investors should closely monitor these events and assess their potential impact on prices, market sentiment, and project ecosystems. As with any investment decision, it is important to conduct thorough research and exercise caution when participating in the crypto market.
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