An Ethereum (ETH) based on the gaming altcoin surged this weekend ahead of a big token unlock event, defying conventional trading wisdom.
Axie Infinite (AXS) rose from around $9.20 on Saturday to a high of $13.84 on Sunday, an increase of more than 50%.
AXS, the 41st crypto asset by market cap, has since partially retraced and is trading at $12.18 at the time of writing.
The price rally came ahead of an AXS token unlock event of around 4.8 million that occurred on Monday, according to data website tokenomics. TokenUnlocks. The unlock event represented 1.812% of the total asset supply and was worth over $60 million at current prices.
AXS’s recent price action flies in the face of conventional wisdom about token unlocks, which provide investors with the ability to sell digital assets after vesting periods expire. Traditionally, token unlocks are seen as bearish catalysts.
Axie Infinity’s next token unlock event will be on April 17th. The unlock will represent 1.45% of the total supply of the asset (worth almost $50 million at the time of writing), according to TokenUnlocks.
AXS is up more than 100% since the start of 2023, when it was trading around $6.00. Despite its price surge this month, the token is still down more than 92% from its all-time high of $164.90, which it reached in November 2021.
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