According to data from crypto.news, Velo was trading at $0.013 as of the afternoon of Sep. 3 (Asia time). At this level, the token is down 13.4% over the past week and sits 64% below its year-to-date high.
Data from Token Unlocks shows that 3 billion VELO tokens—worth about $39.67 million—are scheduled to be released into circulation at 12:00 AM UTC on Sep. 20. This upcoming unlock represents around 17% of the circulating supply and 12.5% of the total supply.
Of the tokens set to be unlocked, 900 million (roughly $11.9 million) will go to founders, while the remaining 2.1 billion will be directed to the Velo development reserve.
Large token unlocks often introduce selling pressure, as investors anticipate potential sell-offs. If demand from new or existing investors fails to match the increase in supply, this can intensify downward pressure on prices. VELO’s recent decline may reflect traders positioning ahead of the event, raising the risk of further correction even before the unlock occurs.
That said, Velo could mitigate selling pressure if it manages to spark additional demand for its token. The project has recently hinted at plans to launch stablecoins pegged to multiple Southeast Asian currencies, including the Thai Baht (THB), Vietnamese Dong (VND), Philippine Peso (PHP), and Indonesian Rupiah (IDR). A successful rollout could renew investor interest and help absorb some of the additional supply from the unlock.
VELO price analysis
On the daily chart, VELO has been moving within a descending parallel channel for nearly two weeks. The token is also trading below all major moving averages, signaling that sellers remain in control of price action.
Momentum indicators such as the MACD and Relative Strength Index were also pointing downwards, with the RSI still far from oversold levels. This confirms that the short-term outlook remains bearish for the moment.
Given the current setup, VELO could extend its decline if it remains within the descending channel.
Technically, the next key downside target lies near $0.0119—a level that has repeatedly served as strong support earlier this year. A breakdown below this zone could open the door to a deeper drop toward the psychological $0.010 mark.
On the flip side, a decisive breakout above the channel’s upper boundary would invalidate this bearish outlook.
