The post LayerZero (ZRO) Price Drops 2.75% as Token Unlock Weighs on Bullish Momentum appeared on BitcoinEthereumNews.com.

Timothy Morano
Jul 22, 2025 04:16

ZRO trades at $2.26 after declining 2.75% in 24 hours. Despite a16z’s $55M investment boost, the recent 25.71M token unlock creates selling pressure for LayerZero.

Quick Take • ZRO currently trading at $2.26 (-2.75% in 24h) • LayerZero’s RSI at 60.26 suggests neutral momentum with potential upside • Token unlock of 25.71M ZRO tokens creating immediate selling pressure despite institutional backing What’s Driving LayerZero Price Today? The ZRO price is experiencing downward pressure following LayerZero’s significant token unlock on July 20, which released 25.71 million ZRO tokens into circulation. This represents a substantial 23% increase in the circulating supply, creating immediate selling pressure as recipients look to monetize their holdings. Despite the recent bearish momentum, LayerZero received a major vote of confidence from a16z Crypto on July 18, when the venture capital firm invested an additional $55 million in ZRO tokens with a three-year lockup period. This institutional backing initially drove the ZRO price up by 10%, demonstrating strong belief in LayerZero’s long-term potential. However, the token unlock’s impact has proven more immediate and substantial, outweighing the positive sentiment from a16z’s investment. The net effect has been a 5% decline in the ZRO price over the past week, as market participants digest the increased supply dynamics. ZRO Technical Analysis: Mixed Signals Point to Consolidation LayerZero technical analysis reveals a complex picture with both bullish and bearish elements present. The ZRO RSI currently sits at 60.26, placing it in neutral territory with room for upward movement before reaching overbought conditions. This suggests that despite recent selling pressure, LayerZero hasn’t reached oversold levels that typically signal strong buying opportunities. LayerZero’s MACD indicator shows bullish momentum with a reading of 0.0933 above the signal line at 0.0645, creating a…

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Filed under: News - @ July 23, 2025 12:25 am