Market braces for significant token supply increases
Last week wasn’t kind to cryptocurrency investors. Bitcoin dropped by double digits, and altcoins fared even worse. Now, as the market tries to find its footing, another challenge emerges: a series of substantial token unlocks scheduled for the coming week.
These events typically introduce new supply into the market, which can put downward pressure on prices if demand doesn’t keep pace. It’s a routine part of many tokenomics models, but the timing—right after a sharp decline—makes this batch particularly noteworthy.
The unlock schedule day by day
Looking at the calendar, the unlocks start on February 2nd with three projects. Quack AI (Q) will release tokens worth $7.93 million, representing about 13% of its current market value. Orbler (ORBR) has a smaller unlock at $1.13 million, roughly 3% of its market cap. Ethereum’s ENA token also unlocks on the same day, with $12.96 million worth of tokens entering circulation—though that’s only about 1% of its $1.1 billion market value.
February 3rd brings the Impossible Cloud Network (ICNT) unlock worth $3.16 million, followed by Lagrange (LA) on February 4th with $2.81 million. The numbers start getting more significant later in the week.
Major unlocks with potential market impact
February 6th features what might be the most substantial unlock of the week. Berachain (BERA) plans to release tokens valued at $29.34 million. What makes this one stand out is the proportion: that amount represents nearly 60% of the token’s current total market value. That’s a huge increase in available supply, and market participants will be watching closely to see how it’s absorbed.
February 7th brings INFINIT (IN) with $5.39 million in unlocks, about 31% of its market cap. Finally, on February 8th, Stable (STABLE) completes the week with a $21.27 million unlock, though that’s only about 5% of its much larger $458 million market valuation.
What this means for investors
Token unlocks aren’t inherently bad—they’re often part of planned distribution to team members, investors, or community programs. But the market context matters. After recent declines, there might be less appetite to absorb new supply. The percentages matter too: a 1% unlock like ENA’s is quite different from Berachain’s 60% release.
I think the key thing to watch will be how these projects manage the unlocks. Some might have vesting schedules that prevent immediate selling. Others might coordinate with market makers to smooth the process. But in a nervous market, even routine events can trigger outsized reactions.
It’s worth remembering that past performance doesn’t guarantee future results. Some tokens have rallied after unlocks when the market anticipated the event and priced it in. Others have struggled. Each project’s fundamentals, community strength, and overall market conditions will play a role in how these unlocks actually play out.
As always, this information is for educational purposes, not investment advice. The cryptocurrency market remains volatile, and events like token unlocks add another layer of complexity to an already challenging environment.
