- APT tokens, worth $351 million, were put into circulation.
- Bitcoin’s plunge caused a double-digit decline for the token.
Layer-1 blockchain Aptos [APT] unlocked 6.24% of its total supply as of April 12. But the market crash, led by Bitcoin [BTC]put an end to the optimism surrounding the event.
Unlocking tokens and putting them into circulation affects the price. In some cases, the event causes high volatility and the increase in supply causes the value of the token involved to fall.
At the time the APT tokens were released, they were worth over $351 million. Before the unlock, the Aptos community was excited about it, with some predictions suggesting the price could rise afterward.
No event is bigger enough than the king
But then Bitcoin fell to $65,000, and altcoins, including APT, were not spared from the attack. At the time of writing, the price of the original Aptos token was $10.13.
This value meant that the cryptocurrency had lost 12.57% of its value in the past 24 hours. In addition to the price, Bitcoin’s correction affected some other metrics on Aptos’ network.
One of the most affected was volume. In the early hours of April 12, APT’s volume was less than 200 million. Fast forward to the time of writing, volume had increased to 543.09 million.
An increase in volume indicates this increasing interest in a cryptocurrency. But it’s not always the case that the increase in volume means a peak in buying pressure.
For APT it seemed the other way around, with the price providing the proof.
Source: Santiment
However, it seems that the token is not done with the recession yet. If volume drops later while APT’s downtrend continues, the decline could become weak. So a rebound could be next.
In this case, APT could try to revisit $12. But if Aptos’ volume continues to fall while its price falls, a further decline could be an option.
If this is the case, the price of the token could fall below $10.
Watch out! Something is brewing
Meanwhile, the social volume surrounding the project dropped. Before Bitcoin entered the picture, APT’s social volume was expected to increase given its planned unlock.
However, the decline here was evidence that the broader market’s price collapse overshadowed it. If not, the search for Aptos may have shifted.
Similarly, social dominance also declined, indicating discussions around the project were nowhere near previous highs. For price, the decline in social dominance could be large.
Source: Santiment
This is because an increase in the metric would have implied hype around it. At this point it may be difficult for the price to rise faster.
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But buying when there is little to no attention can lead to participants taking action early in the game. For now, APT may continue to move sideways.
However, if Bitcoin retests $70,000, the token could move higher and a 50% increase could be possible.