Altcoin Market Braces for $3 Billion Token Unlock, ONDO in Spotlight

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It seems that the coming week could be quite unpredictable for the altcoin market, particularly concerning the ONDO token. With a 24-hour volatility of 10.1%, this token is showing signs of potential instability. The current market cap of ONDO stands at approximately $1.61 billion, and the volume traded over the past 24 hours amounts to $167.96 million. This suggests that a significant amount of altcoins are poised to enter the market.

This week, several coins are expected to increase the altcoin market’s supply, but according to Tokenomist, it’s Ondo Finance’s ONDO token that is anticipated to take the lead.

ONDO, along with ARB ($0.67), STRK ($0.39), and SEI ($0.35) are set to release tokens valued at approximately $3 billion in a week, marking the highest weekly amount since November. Their respective 24-hour volatilities are 8.5%, 9.5%, and 10.7%, while their market caps stand at $2.82 B (ARB), $947.21 M (STRK), and $1.45 B (SEI). The 24-hour trading volumes for ARB, STRK, and SEI are $332.77 M, $53.90 M, and $97.46 M, respectively.

ONDO, Other Altcoins Eye Major Token Unlocks to Shake Up the Market

According to Tokenomist’s announcement, Ondo Finance plans to distribute 1.94 billion ONDO tokens, valued around $2.23 billion, on January 18th.

It’s quite significant that the number indicates the magnitude of this token release. In fact, it surpasses the existing circulation supply of 1.4 billion tokens by more than 130%, making it a particularly notable event.

It appears that the unlocking of the ONDO token could potentially be a significant development in the altcoin market.

As an analyst, I find it noteworthy that the ONDO unlock has far surpassed the token’s daily trading volume. Consequently, it appears reasonable to anticipate a substantial increase in market activity over the next few days.

From my perspective as an analyst, I’d like to highlight that token unlocks refer to a gradual release of cryptocurrency tokens. These tokens were initially locked to prevent early investors or project insiders from flooding the market with large quantities of tokens all at once. In essence, token unlocks are designed to preserve market stability by gradually increasing supply.

Market Expectations Ahead of Release

Generally speaking, if an unlock event generates a higher number of tokens than the typical daily trading volume or circulating supply (like in the case of ONDO), it can often lead to heightened market volatility, according to findings from The Tie’s research.

According to The Tie, these token release occasions frequently reveal the token of interest experiencing significant price fluctuations, both before and after the event.

Currently, the price displayed on Coinspeaker’s page indicates that ONDO is trading at $1.12, marking its lowest point since December 2nd. This not only implies an 8.74% decrease for the day but also a significant 41.6% drop over the past month.

Notably, the token has been in a nosedive since reaching an all-time high of $2.10 on December 16.

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2025-01-13 15:31