Will Avalanche’s First Token Unlock In 3 Months Trigger Price Drop to $20?

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Ah, Avalanche! It has managed to stir some excitement in the crypto world, soaring to impressive heights lately, thanks to the broader market’s bullish vibes. But hold onto your hats, because a potential storm is brewing on the horizon. 🧐

Yes, the so-called “token unlock” is nigh, and this could unleash a flood of AVAX tokens onto the market. Spoiler alert: more supply might just bring the price crashing down like a poorly timed joke at a dinner party.

The Avalanche Token Unlock – A Glimpse Into the Abyss

In the next 24 hours, Avalanche will unlock its first batch of tokens in almost three months. A grand total of 1.67 million AVAX tokens will be released into the wild, which is essentially a fancy way of saying, “Here’s your market glut!” 🎉

This unlock, valued at $42.85 million, could be a little… well, “problematic.” With an influx of AVAX tokens flooding the market, we might just see prices heading for a freefall, as supply outpaces demand. It’s like offering free pizza at a party where no one’s hungry-sounds chaotic, right?

The timing couldn’t be more suspicious-after a recent surge, Avalanche is now facing a potential price correction. It’s like getting to the top of a roller coaster only to realize the track has a serious dip ahead. 🎢

Now, before we all start hitting the panic button, let’s talk about something a bit more… promising. AVAX’s Relative Strength Index (RSI) recently showed an uptick-oh yes, this altcoin isn’t down for the count just yet. Sitting comfortably above the neutral mark of 50.0, it signals a possibility of upward momentum, assuming the crypto gods smile kindly. 🙌

With this RSI boost, AVAX might just shrug off any downward pressure and keep climbing, like an ambitious character in a badly written novel, pushing forward despite all odds. If the market plays nice, that is. 🤞

AVAX – Still a Climb, But Maybe a Rocky One

As of this moment, AVAX is trading at a respectable $25.6. It’s even seen a 12.7

Still, there’s the upcoming token unlock, which could serve as a roadblock, preventing AVAX from breaking through that $26.1 resistance. The price might just consolidate under this ceiling, hanging out around the $24.9 level. If the token unlock doesn’t wreak havoc, the price could stabilize at this level, like a cat lounging in the sun. 😸

But, if the market reacts more like an angry mob, we could see AVAX crash below that $24.9 support level. If things get really ugly, the price could drop to $23.9, or maybe even $22.4. That would be a true market meltdown, invalidating the neutral thesis, and signaling that the crypto gods have, once again, abandoned us. 😱

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2025-08-14 14:51