Although virtual currency markets are inherently uncertain and volatile, certain events may increase the uncertainty and volatility of certain virtual currencies. From a risk management perspective, avoiding trading under extreme uncertainty can improve a trader’s overall performance.
In this context, Finvold has selected three cryptocurrencies to avoid trading next week due to their potential increased risk.
Unlock 3 tokens to avoid trading next week
Among events that create uncertainty and volatility, token unlocking often has a significant impact on price by increasing circulating supply. Therefore, three cryptocurrencies that should be avoided for trading next week are scheduled for token unlocking.
Over the next seven days, the crypto project will unlock $338.42 million worth of tokens.
In particular, Aptos (APT), The Sandbox (SAND), and CyberConnect (CYBER) will unlock 98.9% of that, worth a total of $334.74 million. token unlock app.
Aptos (APT) unlocks large token on February 11th
First, Aptos has the largest unlock in dollar terms expected on February 11th. That vesting contract will see him release his 24.84 million APT, worth more than $221.59 million, by the time of writing.
In particular, “Investors” and “Core Contributors” will receive the largest portion, totaling more than $180 million in liquid assets. Total unlocks increase Apto’s circulating supply by his 7.3%.
Avoid trading SAND and CYBER next week
Two other cryptocurrencies where trading can be avoided by unlocking tokens are The Sandbox and CyberConnect. The former will release 205.59 million SAND ($95.18 million) and the latter 2.36 million CYBER ($17.97 million). Unlocking both increases circulating supply by 9.2% and 15.9% respectively.
Specifically, The Sandbox will unlock tokens on February 14th and CyberConnect on February 13th.
Essentially, the receiving entity may take advantage of this opportunity to release the unlocked tokens into the market. This will inevitably create significant selling pressure on these cryptocurrencies, impacting their prices and diluting the value of their holdings.
On the other hand, speculative price action may also cause the prices of these tokens to rise in the short term. In this scenario of high speculation and uncertainty, investors should avoid trading the three aforementioned cryptocurrencies and wait for further developments.
Disclaimer: Content on this site should not be considered investment advice. Investments are speculative. When you invest, your capital is at risk.