APT, 1NCH, APE, FLOW, CYBER Set to Undergo New Token Unlocks

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APT APE Set to Undergo New Token Unlocks
  • APT’s price may drop below $8 but if bulls defend $7.58, the token may recover.
  • APE’s move in the $2 direction may be short-lived while 1INCH’s potential nosedive may be minimal.
  • The unlock could trigger FLOW’s decrease below $0.80, and CYBER’s sideways movement may eventually turn bearish.

A lot of projects plan to unlock new tokens between 11 and 17 December, according to data from Token Unlocks. Some of the major ones of this lot include  Aptos (APT), 1inch Network (1INCH), ApeCoin (APE),  Flow (FLOW), and CyberConnect (CYBER).

Token unlocks refer to the scheduled release of previously restricted tokens into the market. Most times, the tokens are reserved for investors, stakeholders, or developers of a project. Also, the scheduled release of these cryptocurrencies ensures that the market supply is balanced with demand for the tokens.

However, since unlocks cause an increase in supply, it usually leads to price decline. Therefore, market players may need to monitor what happens with the aforementioned tokens this week before taking a position. 

Aptos (APT)

For Aptos, it plans to release 8.90% of its supply on December 12. At market value, these tokens are worth $206.94 million. APT’s price was $8.32 at press time, denoting a 3% decrease in the last 24 hours.

Between December 7 and 9, APT experienced a surge in buying pressure, as indicated by the Accumulation/Distribution (A/D) line. This jump in accumulation played a part in the token’s rise beyond $8. 

But the resistance at $8.58 ensured that the price action declined. Furthermore, press time data showed that distribution had begun to take over accumulation control.

APT/USD 4-Hour Chart
APT/USD 4-Hour Chart (Source: TradingView)

Combined with the token unlock, APT may drop below $8. However, there was a support at $7.58 which could prevent a significant nosedive. If bulls succeed in defending the zone, then it could be a good entry point as long as buying momentum resumes within a short while.

1inch Network (1INCH)

1inch’s token unlock is to take place in less than five days. But unlike Aptos, the project is only releasing a small part of the locked tokens since it had previously released 78.90% of its total supply.

1INCH’s price as of this writing was $0.41. It reached this value after a 16.21% increase in the last seven days. According to the 4-hour chart, the 1INCH price may drop below $0.40. This was because of the indications shown by the Relative Strength Index (RSI).

At the time of writing, the 1INCH had exited the overbought region it tapped on December 8. The RSI reading down to 63.18 means that buying momentum had sunk. So, there might be no strength to trigger an uptrend. 

Also, the MACD showed that the 26-day EMA (orange) had flipped the 12-day EMA (blue). This is considered a bearish sign. However, 1INCH’s nosedive may not be as significant as APT’s as it is only releasing 0.01% of its total supply. 

1INCH/USD 4-Hour Chart
1INCH/USD 4-Hour Chart (Source: TradingView)

Therefore, it is likely that the bearish thesis will not last long and the cryptocurrency may reclaim the $0.40 region within a short period.

ApeCoin (APE)

ApeCoin’s upcoming token unlock will be worth $29.17 million, representing 4.23% of its entire supply. For APE, the unlock might have a bearish effect on the price action. However, the current momentum showed that bulls are determined to protect the uptrend from sellers.

This assertion was evident in the Directional Movement Index (DMI). At press time, the +DMI (green) was 28.65 while the -DMI (red) was 5.73. This difference was proof that buyers were in control.

The inference was also supported by the Average Directional Index (ADX). The ADX (yellow) reading was 34.90, suggesting that APE’s uptrend was a strong one. As it stands, ApeCoin’s price might rise in the $2 direction. However, if selling pressure appears, the token could retrace below $1.80

APE/USD 4-Hour Chart
APE/USD 4-Hour Chart (Source: TradingView)

Flow (FLOW)

Unlike other cryptocurrencies that lost value in the last 24 hours, Flow gained a slight 0.17% while rising to $0.86. The FLOW/USD 4-hour chart also showed that the market structure was a bullish one.

But with a $2.25 million unlock on the way, the bullish momentum could be halted. Currently, the 9-day EMA (blue) has crossed over the 20-day EMA (yellow), implying a solid bullish bias for FLOW.

However, its token unlock is in five days. So, there is enough time for the price to reverse especially as market players could take the release as a “sell the news” event. 

FLOW/USD 4-Hour Chart
FLOW/USD 4-Hour Chart (Source: TradingView)

In conclusion, while FLOW has the potential to reach $0.90, it could also drop to levels between $0.77 and $0.80 where a lot of buying happened.

CyberConnect (CYBER)

Last on this list is CYBER, the native token of the web3 social network project. CyberConnect gained prominence this year due to the increasing narrative around Social Finance in the crypto ecosystem. 

While the cryptocurrency’s price rose from $5.98 to $6.82 between November 30 and December 4, its recent movement has been sideways. As of this writing, buying momentum had become weak as the RSI fell to 46.50.

CYBER/USD 4-Hour Chart (Source: TradingView)

If the RSI reading continues to drop, the CYBER’s price may decrease to $6.50. However, a decline of the RSI toward 30.00 may be a buy signal. Should this occur, CYBER’s price may target a movement in the $7 region.

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