- SAND crypto price has formed a double-top pattern at $0.8050.
- The network will have a major token unlock event next week.
- It will release over 372 million tokens, equivalent to $269M.
Sandbox price drifted lower on Monday as the recent crypto rebound appeared to take a breather. SAND/USD crashed to a low of $0.7254, which was a few points below the year-to-date high of $0.855. Focus now shifts to the upcoming cliff unlock that is scheduled for next week.
$SAND token unlock
The Sandbox is a leading blockchain project that combines aspects of the metaverse with gaming. It is one of the best-known platforms in the industry. Also, Sandbox is a well-funded platform that raised millions of dollars from the likes of Japan’s Softbank.
Sandbox price will be in the spotlight in the next few days as investors wait for the upcoming token unlock event. An unlock is a situation where a percentage of unlocked tokens are released to the market. It happens in line with a crypto token’s tokenization, which is highlighted in its listing documents.
Data compiled by TokenUnlocks shows that there are 1.67 billion SAND tokens that have been unlocked. These tokens are valued at over $1.2 billion at the current SAND price of $0.722. The remaining ones are 1.3 billion tokens, which are worth over $954 million.
Read more: How to buy Sandbox.
The website shows that 372,570, 278 SAND tokens will be unlocked next week. At the current price, these tokens are valued at over $269 million. The unlock distribution will see 103 million tokens go to seed sale while 96.8 million will move to the company’s reserves.
71.2 million of the tokens will go to the team while 39.9 million and 37.5 million will be allocated to the foundation and advisors. The remaining set of 24 million will move to strategic sales.
In most periods, crypto token unlocks lead to a sharp decline of its price. This happens because the unlock dilutes existing holders. This explains why dYdX postponed its major unlock event recently. However, at times, as I wrote on Axie Infinity, the price could defy the odds and rebound.
Sandbox price prediction
The 4h chart shows that the SAND price has formed a double-top pattern at $0.8050. This pattern tends to be followed by a bearish breakout. The price is now nearing the neckline of this pattern at $0.6861. It moved below the 23.6% Fibonacci Retracement level at $0.7415.
Therefore, the outlook of the Sandbox price is bearish, with the next key level to watch being at $0.6160. This price is at the 50% Fibonacci retracement point.
