Avalanche (AVAX) is currently seeing a decline in its value at a time when a $103 million worth of tokens is set to be unlocked. AVAX was trading at $10.65, down 1.5% in the last 24 hours at 6 am ET on Monday, according to CoinGecko. The token’s value has dropped from its peak of $16 in mid-July.
Token Unlocks reveals that Avalanche is ready to unlock 9.54 million AVAX tokens on August 26. Of these, 2.25 million tokens will go to strategic partners, approximately 1.67 million to foundations and 4.5 million to teams. Another 1.13 million AVAX will be released through airdrops.
So far, 379.79 million AVAX tokens have been unlocked, which accounts for 53%. The remaining 340 million, or around 47%, is still locked. With the upcoming token unlock, the circulating supply of AVAX will increase by 2.77%.
The release of the tokens could have an effect on the market, with potential selling pressure. Additionally, the overall value locked (TVL) in the Avalanche DeFi ecosystem has decreased by 10% in the last seven days to $544 million.
It remains to be seen how the market will respond to the token unlock. Other factors may also play a role in the AVAX price outlook.
