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LayerZero price is under pressure as traders brace for a $43 million token unlock that could test market support and trigger short-term volatility.
- LayerZero trades near $1.71 as traders position for the $43M unlock.
- Unlock will release 7.9% of supply, raising short-term sell pressure.
- Charts show weak momentum but signs of a possible rebound near $1.60.
LayerZero was trading at $1.71 at press time, up slightly on the day but still down 11% in the past week and 13% over the past month. The token has moved within a $1.61–$2.05 range in the last seven days, holding near the lower end as traders prepare for its next major event.
LayerZero’s ($ZRO) 24-hour spot volume rose to $51.17 million, a 174% jump from the previous day, showing a sudden rise in trading activity. In derivatives, trading volume climbed 180% to $81.25 million, while open interest grew 14.5% to $53.29 million, according to CoinGlass data.
The rise in open interest means more traders are taking new positions, often a sign that markets are bracing for sharper moves once the unlock goes live.
$ZRO token unlock could add short-term pressure
Data from Tokenomist shows that 25.71 million $ZRO, worth about $44.22 million, will unlock on Oct. 20, representing roughly 7.9% of the circulating supply. So far, only 33% of $ZRO’s total supply has been released, which means this round could create some short-term selling pressure.
Even so, ongoing developments could help balance the market. LayerZero has recently expanded to Sui (SUI) Network, Starknet (STRK), and Agora AUSD, connecting to over $90 billion in liquidity. These launches tend to boost $ZRO’s trading volume in the following weeks. The project’s Stargate V2 bridge is also allocating half of its fees to $ZRO buybacks.
LayerZero price technical analysis
$ZRO shows poor short-term momentum on the daily chart, trading below all of the major moving averages. The relative strength index is close to oversold territory at 39, indicating that a possible bounce in the token may be imminent.
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The narrowing of the Bollinger Bands indicates compressed volatility before a possible breakout. Resistance levels can be found at $1.95 and $2.05. Immediate support is located close to $1.60.
Although the MACD is still in bearish territory, momentum and Williams %R show modest buying interest, indicating that any recovery may be limited unless volume stays above current levels.
While a close above $1.90 might reestablish short-term bullish momentum going into the unlock, a clean break below $1.60 might open the path toward $1.45.