Pyth Network dips below support as $313M token unlock looms

Pyth Network, The Decentralized Oracle Network, is undergoing significant pressure a few hours before a major token unlocking on Monday, May 19.

Pyth Network (Pythm) The price dropped 7% in the last 24 hours to 0.1449 $. The token has now decreased by more than 21% in the last seven days and is negotiated at 87.65% below its $ 1.20 summit. Despite the slowdown, market activity has resumed.

The 24 -hour trading volume of pyth increased from $ 45.3% to $ 38.5 million, and the volume of derivatives jumped 58%, depending on Coiinglass data. An increase in open interest of 0.71% suggests that new positions are added rather than closed, reflecting a cautious positioning while traders anticipate the volatility of the next unlock.

According to the Tokenomist dataAbout 2.13 billion pyth tokens, worth around $ 313 million, should be unlocked on Monday, May 19. This represents a huge 58.62% of the supply in circulation, with only 36% of total tokens unlocked so far. When so much supply is released at the same time, the dropouts of tokens frequently cause a strong sell-side Pressure, which can affect the price movement if the beneficiaries decide to sell tokens.

On the daily graphic, Pyth is currently trendy near the lower strip after falling below its Mid-Bollinger strip, which suggests that the lower pressure increases. At 43.5, the relative force index, which dropped, suggests that the market loses momentum but is not yet occurring.

Most indicators display signals that go from neutral to negative. The level of divergence of the mobile average convergence is slightly negative, and the momentum is also in the sales territory. All the medium-sized medium-sized mediums, from 10 days to 200 days, simple and exponential, show sales signals, with EMA 10 days now at $ 0.1616, well above the current price.

A movement towards the support of less than $ 0.1134 is possible because Pyth broke its immediate support of $ 0.1504. On the other hand, Pyth could stabilize and even increase if the market gently absorbs $ 313 million open With little sale of recipients.

Post-instruction recovery could be before merchants, especially if the price falls towards significant psychological support between $ 0.12 and $ 0.13. Historical unlocks on other tokens have sometimes marked local stockings as uncertainty emerges.