AGIX tokens worth $2.18 million to be unlocked this week, but investors are not buying the news

SingularityNET (AGIX) price remains bearish, heading south with signs of a continued downtrend. The move comes as investors wait for the network's token-unlock event scheduled later this week.

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AGIX token-unlock event oncoming

AGIX, the ticker for the SIngularityNET ecosystem, is trading with a bearish bias, falling almost 2% on the day with a 24-hour trading volume decline of 55%. This comes ahead of the token’s unlock event slated for July 28.

Token unlocks are when a specified amount of tokens – usually held by developers and early investors – are released into an asset's circulating supply. In line with supply-demand dynamics, they tend to cause prices to fall. As such, token unlocks tend to disturb market stability because of enhanced selling, as token holders look to book profits before the unlocked tokens are released into the market.

According to data from TokenUnlocks.com, up to 9.97 million AGIX tokens will be released into the market, worth approximately $2.18 million. The event is due in just over two days on July 28, with the tokens set for release constituting up to 0.83% of SingularityNET's total supply.

AGIX token unlocks schedule.

AGIX price implication

At the time of writing, AGIX is auctioning at $0.219 while still sliding south within a descending channel. Momentum indicators such as the Relative Strength Index (RSI) and the Awesome Oscillators (AO) are both headed south. This shows that momentum is falling and suggests a continued downtrend.

Accordingly, AGIX price could drop an additional 12% to the immediate support at $0.192. Further bolstering this outlook is the accumulating overhead pressure from the 50-and 100-day Simple Moving Averages (SMA) at $0.233 and $0.268, respectively.

AGIX.USDT 1-Day Chart

Conversely, investors looking to accumulate more AGIX at current levels or increase their portfolios around the unlock could trigger a surge of buying momentum, sending AGIX price above the upper boundary of the technical formation. However, investors should watch for a decisive break above the $0.309 resistance level for a confirmed uptrend. Such a move would constitute a 40% climb above the current price.