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StrategyIntermediate

Trading Around Token Unlocks

Overview

Token unlocks create predictable supply increases that savvy traders can exploit. Strategies range from shorting ahead of large unlocks to buying the dip when sell pressure is already priced in. Use our unlock schedule tracker guide to identify upcoming events, and run your numbers through the position size calculator to manage risk. Pair unlock data with technical indicators and broader trading strategies for a well-rounded edge.

Key Takeaways

  • Markets often price in expected unlocks days or weeks before the event
  • Surprise or under-publicised unlocks have the largest price impact
  • Shorting illiquid tokens around unlocks carries significant slippage risk
  • Some investors accumulate after the post-unlock sell-off when weak hands exit

Practical Tips

  • Size positions conservatively around unlock dates — volatility spikes
  • Look for tokens where the unlock is less than 1 % of supply — impact is minimal
  • Combine unlock analysis with momentum and on-chain inflow data