Crypto Token Unlocks Set to Shake Markets This Week

• HYPE, SUI, EIGEN lead cliff unlocks, releasing millions, creating potential short-term selling pressure.
• RAIN, SOL, DOGE and others see linear unlocks, adding steady supply and influencing gradual market trends.
• Investors should track unlocks closely to time trades and manage risk amid potential volatility.

Investors should brace for market shifts as significant crypto token unlocks loom between December 29 and January 5. These unlocks, both cliff and linear, could directly influence token supply and trading dynamics.

According to Tokenomist, over $585 million worth of tokens are scheduled to enter circulation this week, potentially affecting prices and investor sentiment. Large cliff unlocks include HYPE, SUI, EIGEN, KMNO, OP, ENA, ZORA, and SVL, while major linear unlocks involve RAIN, SOL, TRUMP, WLD, DOGE, AVAX, and ASTER. The combination of these events creates a concentrated period of potential market volatility.

Cliff unlocks release tokens in one batch, often creating sudden supply spikes. HYPE leads with nearly 10 million tokens, valued at $251 million, representing roughly 2.6% of its adjusted supply. SUI will see 46 million tokens, worth $67 million, unlocking, about 1.2% of its circulating supply. EIGEN’s unlock involves 36.8 million tokens, approximately $14.4 million, equaling nearly 9.7% of its supply.

Other cliff unlocks like KMNO, OP, ENA, ZORA, and SVL also release millions of tokens, though the percentages vary, ranging from under 1% to over 5%. These single-time releases can create temporary selling pressure.

Linear Unlocks Gradually Add Supply

Linear unlocks release tokens steadily, softening sudden market shocks. RAIN leads with 9.43 billion tokens gradually entering circulation, valued at $77 million. SOL follows with 485,000 tokens worth $62 million.

Other linear unlocks include TRUMP, WLD, DOGE, AVAX, and ASTER, with values between $7 million and $24 million. Hence, traders can expect ongoing supply pressure rather than a single market spike.

Additionally, these gradual unlocks allow for smoother absorption by exchanges and liquidity pools. Consequently, investors should monitor both types of unlocks for timing trades or hedging exposure.