Date: Wed, Oct 30, 2024, 06:21 PM GMT
The Celestia (TIA) community has been closely monitoring today’s long-awaited token unlock event, which saw the release of a massive $839 million in TIA tokens into the market. Following this event, Celestia’s price has faced significant downward pressure, with the token declining 9% to its current trading price of $4.82.
Token Unlock Details
The Celestia token unlock concluded at 2:00 PM UTC, roughly five hours ago. In total, 175.59 million TIA tokens were unlocked, amounting to 44.08% of the circulating supply.
This event brings significant liquidity to the market, with allocations as follows:
- Private Investors (Seed, Series A & B): 117.38 million TIA
- Founders & Core Team: 58.21 million TIA
Both private investors and early team members have substantial gains on their initial investments, and this profit realization could contribute to the sell-off pressure seen post-unlock.
Technical Analysis: What Lies Ahead?
The TIA price chart reveals key support and resistance zones that could shape the token’s near-term movement:
- Support Zone ($4.54 to $4.85): Currently, TIA is hovering near the $4.80 mark, which lies within a critical support range. This level has historically provided stability, and holding above $4.54 could signal potential strength and attract buyers. However, if TIA fails to maintain this support, it may decline further to test the $3.89 level, which represents a lower support.
- Resistance Zone ($6.50): If TIA can secure a rebound from the current support, a move toward the $6.50 resistance level could materialize. A breakout above $6.50 might trigger renewed bullish sentiment and encourage further buying momentum.
The Relative Strength Index (RSI) indicator currently hovers around 50, indicating a neutral market stance. However, if buying pressure increases, an upward trend in RSI could confirm a shift toward a bullish sentiment.
Market Sentiment and Broader Trends
The broader crypto market sentiment remains bullish, as Bitcoin has recently surged to a new high of $72,000. This positive environment could provide tailwinds for TIA, enhancing its recovery potential alongside other major cryptocurrencies. As a modular blockchain platform with growing interest, Celestia’s fundamentals remain strong, despite the short-term sell-off pressures due to the token unlock.
Conclusion
The next few days will be critical for TIA. If it holds above the $4.54 support and sees a rebound, it could initiate a recovery toward $6.50. However, a sustained break below $4.54 could introduce further downside. Market participants may look to Bitcoin’s performance and overall market sentiment for clues on TIA’s next move.
Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.