The Sandbox [SAND] investors are still figuring out where the token is headed as 20% of the total SAND supply was unlocked on 14 February. Additionally, the token supply to exchanges significantly increased just before the event. Around 560 million SANDs were pushed to the exchanges before the unlock, as seen by Supply on Exchanges on Santiment.
Source: Santiment
Read The Sandbox’s [SAND] Price Prediction 2023-24
It should be noted that the token supply to exchanges increased after the unlock. One possible explanation for the higher supply is that more investors brought their assets to these exchanges to liquidate their holdings.
As a result, despite a brief peak in the token’s value, the persistent sale has resulted in a decline in value. As of this writing, the supply on exchanges was 537.39 million, which appeared to have dropped, and it represented 17.9% of the supply.
Like the Supply on Exchange statistic on Santiment, the Netflow metric on CryptoQuant revealed that SAND had a significant inflow into exchanges. However, the decrease in inflow and increase in outflow was made more evident by this statistic. According to the Netflow data, the outflow of the token dominated on 22 February 22.
On 25 February, there was a spike of over 19 million tokens. The predominance of outflow indicates that investors are not selling but were instead holding onto their money. Although this is good for SAND, the historical price movement after the unlock suggested that this may be the calm before the storm.
Source: CryptoQuant
Similar patterns were reportedly seen in August–September 2022 unlocking events, according to Santiment. After a month of token unlocking, however, the prices fell.
After the last token unlocks in August, the
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