The post Will the release of 9.54M AVAX tokens impact the price of Avalanche? appeared on BitcoinEthereumNews.com.

Avalanche unlocks 1.33% of AVAX’s max supply. Analysis say the bottom might be in. Solana [SOL], Worldcoin [WLD], and Avalanche [AVAX] led the charge for altcoin token unlocks with AVAX releasing 9.54 million AVAX tokens, representing a 1.33% of its total maximum supply. This AVAX event marks the final major token unlock, with allocations made to the Team, Foundation, Strategic Partners, and Airdrop recipients. As the last significant unlock, many are questioning whether this influx of AVAX will inflate Avalanche’s price or stabilize it. Source: Token Unlocks Moving forward, Avalanche will shift to smaller, foundation-only token unlocks, releasing 1.6 million AVAX each quarter until July 20, 2030. This reduced unlock schedule is a strategic move designed to manage supply and minimize selling pressure, potentially keeping AVAX’s price stable despite the gradual increase in circulating tokens. This release will have significant impact on the price thus needs to be closely monitored. Historically, similar token unlocks have led to notable price movements. Source: X Already, AVAX is showing signs of moving higher as the overall crypto market trends upward. Is AVAX bottom in? From a technical perspective, AVAX appears to have found its bottom, with price action suggesting a potential upside. On the AVAX/USDT 4-hour chart, the price has reclaimed support between $22.84 and $21.06. A close above this range by the end of the week would indicate a bullish signal, whereas falling below this band could trigger further selling pressure. The Elliott Wave analysis also shows a positive outlook for AVAX. Source: TradingView Falling wedge pattern Additionally, Avalanche’s 3-day chart indicates a falling wedge pattern, which is a bullish signal. AVAX has bounced back from the lower trendline, and there is confidence that a breakout from this wedge is imminent. If this breakout occurs, AVAX could see a rally similar to…

---

Filed under: News - @ August 27, 2024 6:06 am