Celestia’s native cryptocurrency, TIA, is preparing for a significant event on October 30th, where 175 million tokens that were previously locked up will be released. This massive release will increase the token’s supply by 80%, which could potentially lead to price volatility in the market.
The total value of the unlocked tokens amounts to $920 million, with prices hovering around $5 on exchanges. Core contributors are set to receive 58 million tokens, early investors from series A and B funding rounds will get 65 million tokens, and seed investors will receive 52 million tokens.
Typically, when locked-up tokens are released, it can have a bearish impact on the price as early investors and insiders may sell off their allocations. However, in some cases, investors may anticipate the unlock and sell beforehand. In the case of TIA, prices have already dropped significantly from their peak in February, and funding rates for TIA perpetual futures are in negative territory.
Despite the potential for price drops, some analysts believe that the broader market conditions, with Bitcoin trading near all-time highs, could support a positive outcome for TIA following the unlock. Crypto analyst Will Clemente, for example, sees a higher probability of TIA surprising traders with a rally post-unlock.
In conclusion, the upcoming token unlock for TIA presents a unique opportunity for investors to monitor the market and potentially capitalize on any price movements. With the overall crypto market showing strength and positive momentum, TIA holders may find themselves in a favorable position following the unlock event.
As always, it’s important for investors to stay informed and consider the various factors at play in the market before making any decisions. The cryptocurrency industry is known for its volatility, and being prepared for potential price fluctuations is key to navigating this exciting and dynamic space.