Journalist
Posted:
- Lido is set to unlock 1.5 million tokens in the next 24 hours.
- LDO has increased by over 3% to trade at around $1.5.
Lido Finance [LDO] has gained significant attention recently due to its involvement in Ethereum [ETH] staking. Nevertheless, an imminent token unlock will increase the circulating supply of its ecosystem token, LDO, in the next 24 hours.
How much are 1,10,100 LDOs worth today?
How significant could this increase be compared to the press time circulating supply of LDO, and what impact might it have?
Lido Finance to unlock more tokens
As per an 11 September post by Token Unlocks, Lido Finance was scheduled to experience its final cliff unlock on 13 September. This unlock is set to release 1.50 million LDO tokens, valued at approximately $2.24 and constituting 0.27% of the circulating supply.
🚨 Unlocks Alert: $LDO 🚨
🗓️ September 13th, 2023 (In 2 days)The final cliff unlocks with 1.5m $LDO for investors 🌟
Time is ticking. ⏰
Make your move.More details on $LDO unlocks below 👇🏻https://t.co/Y472IT9cKr
Stay tuned by following @Token_Unlocks pic.twitter.com/RnoIkFFl1I
— Token Unlocks (@Token_Unlocks) September 11, 2023
Additionally, according to CoinMarketCap’s data, the press time circulating supply of LDO stood at over 888 million tokens. The unlocked tokens would bump the circulating supply to over 889 million.
The data also indicated that the total supply of LDO was 1 billion. At the time of writing, the market capitalization of LDO exceeded $1.3 billion.
Comparing Lido’s current and upcoming volumes
According to CoinMarketCap, Lido Finance experienced a notable surge in trading volume over the past 24 hours, with an increase of more than 50% at press time. The volume chart on Santiment revealed that this uptick caused a minor spike.
The chart also illustrated that the volume had been on a declining trend until this recent surge. As of this writing, the trading volume stood at over $41 million.
Source: Santiment
Considering the press time state of the trading volume and the historical trends observed, the forthcoming unlock of LDO tokens is unlikely to significantly impact LDO’s price trajectory.
Given that the total value of the LDO tokens to be unlocked is $1.5 million, equivalent to $2.24 million, the market conditions could absorb this amount without causing substantial disruption.
LDO escapes the oversold zone
Analyzing LDO’s price trend over the daily timeframe, it’s evident that it recently experienced a downtrend, consistent with the broader market trends.
Realistic or not, here’s LDO’s market cap in BTC’s terms
However, it has also been displaying signs of an uptrend. As of this writing, LDO was trading at approximately $1.5, reflecting a price increase of more than 3%.
Source: TradingView
This modest price rise has also impacted its Relative Strength Index (RSI), which had previously been trending downwards. At the time of writing, the RSI line was at 40, and could continue to climb if the ongoing price uptrend persisted.
