Celestia (TIA) Defies Expectations Following Token Unlock Event, Targets Four-Month High

TIA has defied expectations following the Celestia token unlock event, which saw the release of tokens worth $890 million earlier this week.

Celestia's (CEL) native token, Celestia (TIA), has seen an unexpected surge in price following a large token unlock event, defying expectations.

The key takeaways from this analysis are:

Despite the release of tokens worth $890 million, TIA's price has risen by 4%, outperforming the broader crypto market.

TIA's price is now positioned for a potential four-month high, driven by positive funding rates and a bullish MACD indicator.

TIA's price may encounter resistance at $6.45 and support at $3.75.After surging to a four-month high on Wednesday, Celestia's token, TIA, has continued its upward momentum, sparking interest among traders.

The Web3 community anticipated the Celestia token unlock event, which saw the release of 176 million TIA tokens. This event was crucial as it could have led to sell-off pressure due to the large increase in circulating supply.

However, to the surprise of many, TIA's price has surged instead. In the past 24 hours, the coin has seen a 4% gain, outperforming the broader cryptocurrency market.

This performance is particularly noteworthy considering the magnitude of the token unlock. The tokens unlocked are valued at approximately $890 million at current price, making it one of the largest token unlocks in recent months.

Despite this event, TIA's price has managed to stay resilient and even register gains in the opposite direction of what was anticipated.

TIA's price continues to exhibit a strengthening bullish bias, which is evident from its positive funding rate. BeInCrypto earlier reported that TIA clocked its first positive funding rate since September 10 following the token unlock event on Wednesday, indicating bullish sentiment among traders.

At the time of this writing, the fee is still positive at 0.0085%.

An asset's funding rate refers to the periodic fee exchanged between traders in its perpetual futures market to ensure that its futures contract price aligns with its underlying spot price. When it becomes positive, it signals a shift from bearish to bullish sentiment, indicating that traders are increasingly taking long positions in anticipation of rising prices.

Furthermore, TIA's moving average convergence/divergence (MACD) confirms this bullish outlook. The MACD measures an asset's price trends and momentum and identifies its potential buy or sell signals.

As can be seen in the above chart, the coin's MACD line (blue) is positioned above both the signal line (orange) and the zero line at the time of writing. This setup indicates a bullish trend, reflecting the upward momentum in the TIA's price following the Celestia token unlock event.

TIA Price Prediction: Four-Month High Is In Sight

At the time of writing, TIA is trading at $4.83. If buying pressure continues, its price could continue to rise, potentially aiming for the resistance at $6.45. A successful breakout at this level could see TIA reaching a four-month high of $7.85.

On the other hand, if selling pressure intensifies, TIA's price may face downward momentum. Its price could potentially drop toward $3.75, which marks its lowest level since September 7.