Whales are moving significant amounts of DYDX and GMT tokens from Binance ahead of an upcoming token unlock event on April 1. About $114 million worth of DYDX tokens, equivalent to 11.35% of the circulating supply, will become available on that date, along with a scheduled linear unlock of 3.32 million GMT tokens.
The withdrawal of these tokens from exchanges, particularly Binance, suggests an accumulation trend by large wallet investors. Typically, token unlocks lead to a rise in selling pressure and a subsequent price decline, prompting investors to withdraw tokens from exchanges.
Data from Spotonchain indicates substantial withdrawals of DYDX and GMT tokens by whales. For instance, one whale withdrew 1.86 million DYDX tokens, valued at $13.9 million, while another withdrew 46.2 million GMT tokens, worth around $16 million. These movements coincide with a decline in supply on exchanges over the past two weeks.
Despite the upcoming token unlocks, decreasing token supply on exchanges and whale accumulation suggest a potential for sustained price gains for DYDX and GMT tokens. Whales pulling tokens off exchanges will likely alleviate selling pressure and provide support against significant price corrections shortly.
DYDX Supply on Exchanges. Source: Santiment
GMT token Supply on Exchanges. Source: Santiment