Even as crypto analysts maintain a bullish perspective for Bitcoin and crypto, the current outlook for APT suggests further weakness given the potential impact of geopolitical events on markets in general. In this case, a dip for the top coin Bitcoin could signal fresh downward moves for altcoins.

For APT, one possible catalyst for downward volatility could be the upcoming token unlock scheduled for October 12.

As with the mentioned dip to lows of $4.90 in September, the Aptos community could see APT price suffer negative action when millions of APT are unlocked into the market.

According to Token Unlocks, a total of $37.92 million in token supply will be unlocked this week, with seven tokens scheduled for what the tokenomics insights platform says are “cliff unlocks.” Aptos will account for more than $23 million of this week’s unlock.

Specifically, Aptos will release 4.54 million APT into the market, with the unlock accounting for roughly 1.9% of the cryptocurrency’s circulating supply. Such a large release of tokens is likely to result in a buildup of selling pressure for APT.

It’s worth noting that 3.21 million of the unlocked tokens will go to the community, while 1.33 million is for the foundation. Given ecosystem dynamics, the most likely sell-off pressure could come from the community holders who may seize upon the allocation to target profit taking deals.

A breakdown below intraday lows of $4.95 could allow bears to target the year-to-date low of $3.40. The outlook is strengthened by the price remaining within a macro downtrend since the peak above $20.30 in January, 2023.

The post Aptos price: APT shows weakness ahead of $23.8 million cliff unlock appeared first on Invezz.