The latest unlock accounted for about 4% of the total APE supply, worth $160 million. The Apecoin staking program triggered a robust demand for APE. apecoin [APE]the main token of the Yuga Labs ecosystem, recently released around 40 million tokens on the market as part of its scheduled linear unlock. The unlock accounted for about 4% of the total APE supply, worth $160 million. Overall, more than 42% of the total supply has been unlocked, as of this writing. The last token unlock event on February 16 resulted in a drop of more than 7% in the value of APE according to CoinMarketCap.
Surprisingly, APE bucked the trend this time, posting gains of over 6% in the 24-hour period. Read ApeCoin’s [APE] Price prediction 2023-24 Hoarding spree for APE Unlocking tokens could be tricky in the crypto space. Although they are designed to provide liquidity to the market and help in the expansion of the project, they can become a source of inflationary pressure, leading to a significant drop in prices. In the present case, however, there was strong evidence to suggest that APE was being bought in bulk, which led to the unlock event. According to Unblock Calendar, the APE balance on centralized exchanges has dropped significantly since December of last year. Interestingly, this was also the time when Apecoin launched its staking program. Smart money wallets also started increasing their APE allocation balance. Possibly, the strong incentive to reap staking rewards may have led users to keep the token rather than sell it. According to Dune Analytics, the APE staking pool produced an 81% annual return at press time.
There was also an incentive mechanism to reward those who bet early. Therefore, there was a strong push for stakeholders to maintain APE. Source: Dune Analytics Bulls and apes become friends! Apecoin’s transaction volume shot up to its 11-month high of 125.9 million on March 17, lending credence to the accumulation theory. The supply from the big directions grew considerably since the beginning of the year, indicating that whales took over APE in abundance. Source: Feeling How much is 1,10,100 APE worth today? Most of the technical indicators sided with a bullish idea for APE on a daily time frame. The Relative Strength Index (RSI) began a rally and sat comfortably above the neutral 50. On Balance Volume (OBV) posted higher highs and lows of late, suggesting strong demand. The moving average convergence divergence (MACD) confirmed the start of a bullish cycle after the crossover. Source: APE/USD Trade View source: ambcrypto.com
Source : [Apecoin bucks the trend by earning after its token unlock, here’s why](cryptosaurus.tech/apecoin-bucks-the-trend-by-earning-after-its-token-unlock-heres-why/) undefined - CryptoSaurus / March 19, 2023
