Aptos, a Layer 1 blockchain protocol founded by former Facebook employees, is gearing up for a major token unlock event in November. Data compiled by TokenUnlocks suggests that 20 million APT tokens will be released next month, which is estimated to be worth over $103 million. This represents 8.5% of Aptos’ total circulating supply of 235 million APT tokens.
Token unlocks are a common practice in the cryptocurrency industry to prevent early investors and team members from suddenly selling their tokens, which could lead to a sharp decline in prices. In the case of Aptos, the upcoming token release could introduce significant liquidity into the market.
Research firm The Tie has reported that the scheduled November unlock could have a negative impact on prices. The 20 million APT tokens to be unlocked is equivalent to 112% of the average daily trading volume over the past 30 days. Previous token unlocks exceeding 100% of average volume have generally weighed on prices.
The market sentiment for Aptos appears to be bearish, as indicated by data from APT perpetual futures markets. Funding rates, which represent payments between long and short contract holders, have fallen to the lowest levels since February. This suggests that shorts are incentivizing longs to close their positions, indicating a bearish outlook.
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From a technical analysis perspective, the APT price is showing signs of weakness. The 20-day exponential moving average (EMA) is above the current price, indicating a bearish market sentiment. The 50-day and 100-day EMAs are also significantly above the current price, further confirming the bearish trend.
The relative strength index (RSI) for APT is slightly up, but still below the oversold territory. The moving average convergence divergence (MACD) histogram has shifted slightly towards the positive side, suggesting a potential bullish crossover in the near future. However, traders should exercise caution until stronger bullish signals emerge.
The APT price is currently trading near a resistance zone, attempting to move higher. If it breaks past this resistance, it could establish a short-term bullish trend. However, if it fails to break the resistance, a pullback towards the immediate support zone is possible. Traders should closely monitor these levels as they could indicate the future direction of the APT price.
As the blockchain industry evolves, investors are looking for new opportunities. One company that is generating interest is yPredict, an AI-powered crypto analytics platform. yPredict has raised over $3.85 million in its presale and is expanding beyond crypto tools with the beta launch of WriteMingle, a collaborative content creation software leveraging AI.
WriteMingle offers an automated system for content generation, plagiarism detection, and search engine optimization. It aims to streamline the production of premium content by employing cutting-edge natural language processing and generative AI. The software provides AI-generated content ideas, real-time grammar and plagiarism checks, and on-page SEO tips.
yPredict has opened up the beta version of WriteMingle for a limited number of testers at no cost. The company plans to integrate user feedback into the tool ahead of a full-scale launch later this year.
In conclusion, as Aptos prepares for its token unlock event, traders should proceed with caution due to the bearish market sentiment. The technical indicators suggest a potential downward trend for the APT price. Meanwhile, yPredict’s expansion into content creation and collaboration with WriteMingle is attracting attention in the blockchain space.
