Sandbox price trades sideways ahead of $88 million Valentine’s token unlock
- Sandbox price noted a 4.62% weekly decline in its price, SAND price is $0.4330 on Wednesday.
- Sandbox has scheduled an unlock of 205.59 million SAND tokens worth $88.31 million on February 14.
- SAND price dropped by 20% in the week following its previous token unlock event, a similar occurrence is likely this month.
Sandbox has scheduled a $88.31 million unlock on February 14. The token is currently in a downward trend and further decline is likely with the likely release of 205.59 million tokens in SAND’s circulating supply.
On-chain metrics support a bearish thesis for SAND and further correction in the metaverse token is likely.
Also read: XRP price at risk of further consolidation, Ripple requests an extension of deadline in SEC lawsuit
Sandbox on-chain metrics, scheduled events suggest SAND price correction is likely
Sandbox’s Active Addresses and Volume, two metrics used to determine user activity and the token’s demand among market participants, signal a correction in SAND. Since January 1, SAND’s Active Addresses and Volume have been in a downward trend, as seen in the Santiment chart below.
This indicates that user activity in Sandbox has dropped significantly, in the same timeframe.
 [12.17.42, 07 Feb, 2024]-638428872112574788.png)
SAND Active Addresses and Volume. Source: Santiment
 [12.14.44, 07 Feb, 2024]-638428872387678450.png)
Sandbox Supply on Exchanges and Price. Source: Santiment
According to data from tokenunlocks.app, the unlock of $88.31 million in SAND tokens is scheduled for February 14. A similar event where $130.26 million worth of the asset was unlocked in August 2023, drove the price down by nearly 20%. If the trend repeats, SAND price could suffer a nearly 20% decline in its price, within a week of the unlock.
SAND/USDT 1-day chart
At the time of writing, SAND price is $0.4320 on Binance.
(This story was corrected on February 7 at 14:38 GMT to say that the SAND unlock is worth $88.31 million, not $94.42.)
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
