TL;DR
- Taiko will be conducting a large token release with its community airdrop, increasing the TAIKO supply by 15.8%.
- Immutable will unlock $40.92 million in tokens on September 6, earmarked for project development.
- Cheelee and MODE will also experience significant token unlocks, with potential negative impacts on their prices.
In September 2024, the cryptocurrency market is preparing to face a series of token unlocks that could have a significant impact on the liquidity and prices of several prominent assets.
The most notable event is the unlocking of Taiko, a high-profile Layer 2 network.
Taiko will expand its token supply by 15.8% through the distribution of Trailblazer airdrop tokens.
This airdrop, which incentivized the community in June and July, will increase the amount of TAIKO in circulation.
Despite the potential boost it could provide to community participation, Taiko could face pressure on its price, as only 7% of its total supply is currently in circulation and the price of TAIKO has fallen by approximately 50% since the peak of the airdrop campaign.
Another important event is the Immutable (IMX) token unlock scheduled for September 6.
This unlock will release $40.92 million in new tokens destined for the development of the project and its ecosystem.
Although IMX has already unlocked 79% of its total supply, this new unlock will only increase the circulating supply by 2%.
The pressure on IMX’s price has been evident, with a recent drop to $1.25 from its all-time high of $9.52.
The month of September will also witness continuous linear unlocks, with around $280 million worth of tokens released weekly.
September 6th and 7th are highlighted by significant unlocks, including over $405 million in notional value and over $118 million in cliff unlocks.
These events will test market liquidity, with prominent tokens such as ARB, OP, SUI, MANTA, and STRK participating in the unlocks.
Impact and Perspectives on the Crypto Market
The situation is further complicated by the unblocking of Cheelee, a project with a very low supply and no listings on major centralized exchanges.
Cheelee will release over $388 million in tokens, with unlock events planned weekly, primarily for community rewards.
This project has been backed by relatively unknown venture capital firms, adding to uncertainty about its impact on the market.
MODE will also experience a major unlock on September 5, expanding its supply by over 38.4% from a free float of 13%.
MODE, with a total supply of 10 billion tokens and a price of $0.012, has been trending downwards since its launch in May.
Lastly, Eigen Layer (EIGEN) is also joining the September unlocks, adding $28 million in tokens on September 10th.
With only 5% of tokens in circulation, the project plans a series of additional unlocks in the coming months, which could influence market dynamics and the distribution of tokens among early airdrop recipients.
