Warning Lights On for These 3 Cryptocurrencies: Stay Away for Now!

After Fed Chairman Jerome Powell’s dovish speech, sensitivity in the cryptocurrency market shifted from a decline to an increase. Buying pressure increased for most tokens. However, according to cryptocurrency analyst Vinicius Barbosa, three tokens may suffer from upcoming sales this week.

First warning signal: XRP’s upcoming $120 million sale!

The upcoming first and most remarkable sale is coming from Ripple about XRP Ledger (XRP). The company generally moves more than 200 million XRP from its treasury account every month. Additionally, it sells most of these tokens. In this context, Ripple has moved 1,826 million XRP in potential sales from the beginning of the year to date. At the time of writing, approximately 200 million XRP worth about 124 million dollars is still held in ‘Ripple (1)’. On-chain data shows this situation for the cryptocurrency.

Ripple (1) transaction history. Source: XRPScan### Warning lights are also on for Optimism (OP)!

Secondly, Optimism (OP) will conduct a key unlocking activity on August 31. Therefore, among the cryptocurrencies to be avoided trading this week, it stands out. Optimism will release 31.34 million OP worth $50.46 million for ‘Core Participants’ and ‘Investors.’ According to TokenUnlocksApp’s latest data, this activity will increase Optimism’s circulating supply by 2.6%. This alone will represent 67% of the expected $74.81 million token unlock for the project in the next seven days.

Optimism (OP) unlocks on August 31st. Source: TokenUnlocks### Another warning cryptocurrency: Yield Guild Games (YGG)

To summarize the key unlocking operations of the week, Yield Guild Games (YGG) will unlock 14.08 million YGG tokens, which are expected to be partially sold on the market, by the Community, Founders, Investors, and Treasury. Interestingly, the tokens released by YGG are equivalent to $6.82 million at current prices. However, they still represent 3.7% of the circulating supply of the token. Therefore, although lower compared to other cryptocurrency sales, this event has the potential to impact the Web3 gaming project starting from August 27th.

Yield Guild Games (YGG) unlocks on August 27th. Source: TokenUnlocksInvestors should review and understand the tokenomics correctly before investing capital into cryptocurrencies to avoid being surprised by sales. However, it is possible for the situation to be affected by sufficient demand for the token. In this case, it is also possible for unlocking or upcoming supply pressure not to affect the price.

The views and predictions in the article belong to the analyst and are definitely not investment advice. Kriptokoin.com strongly recommends that you conduct your own research before investing.

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