Token unlocks, which have the potential to create inflationary pressure in the cryptocurrency markets and lead to a decline in token values, are closely monitored by experts. Approximately 3 million Avalanche (AVAX) tokens, with a market value equivalent to 115 million US dollars, were released into the market.
Most of the tokens were distributed in the crypto network as staking rewards. Experts, when examining the price behavior of AVAX, noted that there was no downward pressure in the last 24 hours.
The negligible effect of the altcoin flow could be due to the relatively small amount released. The unlocked tokens constituted only 0.82% of AVAX’s total circulating supply. However, another 9.54 million tokens are set to be released in 2024.
AVAX was among the best-performing cryptocurrencies in December, providing approximately a 72% return on a monthly basis. It maintained its momentum despite the overall market correction. According to Coinglass data, Open Interest (OI) in AVAX futures reached an all-time high of 370 million dollars last week.
AVAX continued its high performance in December and maintained its momentum with token unlocking dates scheduled within a predetermined program. The next unlocking in 2024 is anticipated. As of the writing of this article, AVAX is trading at the level of 39.27 dollars.