Sui Solana Token Unlocks May Trigger 1.71% 0.58% Price Volatility

Two significant token unlock events are on the horizon for the crypto market, involving Sui (SUI) and Solana (SOL). These events, scheduled for early July, could trigger substantial price volatility for both tokens. Sui Network is set to unlock 58.35 million SUI tokens on July 1, valued at approximately $178.53 million. This represents 0.58% of the total supply and 1.71% of its market cap. Meanwhile, Solana will see two key unlock dates: July 1, with 12.7K SOL worth $1.99 million, and July 7, with an additional 472.99K SOL valued at around $74.06 million.

These unlocks could significantly impact market sentiment, liquidity, and price trajectories in the short term. The increased supply of tokens entering the market may overwhelm demand, leading to potential price drops. Technical indicators for SUI show a fragile bullishness, with the asset currently trading around $3.06 and testing the 0.382 Fibonacci retracement level. If this support zone fails, downside momentum could increase, pushing the price toward lower Fibonacci levels. The Balance of Power (BoP) indicator has spiked to 0.30, suggesting short-term buyer dominance, but this reading is volatile and could quickly reverse with unlock-driven selling pressure.

For Solana, despite the upcoming unlocks, some analysts remain optimistic. World of Charts, a technical analyst, notes that SOL is consolidating within a tight bullish pennant. A breakout from this pattern could push the price toward $185, a key horizontal resistance. A decisive daily close above this level may open the gates to $250, a significant psychological and technical barrier. However, the potential for price volatility remains a concern, and market participants are advised to exercise caution as these unlock events unfold.