A first major investor unlock, large insider deposits to Bitget and Aster DEX, and KuCoin wallet transfers added to pressure as open interest rose and capital outflows intensified.
LAB fell more than 36% in 24 hours, extending a collapse that has erased roughly 99% of its value from its all-time high as fresh token supply, insider transfers and exchange activity weighed on the market. The move followed LAB’s first major scheduled investor unlock on July 14, though reports differed on the exact amount released. Vesting data showed about 31.48 million LAB entered linear unlocks that day, adding to transparency concerns previously raised by ZachXBT. Arkham data showed one insider-linked wallet transferred more than 40 million LAB to Bitget and was also seen moving SKYAI tokens. ZachXBT said another insider deposited 18.4 million LAB into Aster DEX over the previous two days and still held 81.5 million LAB, leaving traders concerned that additional supply could reach the market. KuCoin also moved 11 million LAB from its vault wallet in three transfers, including a final 3 million-token transfer to an external wallet. Derivatives positioning added to the pressure. Sell walls formed above the current price, with the largest liquidity clusters around $0.58 and between $0.32 and $0.33. The Chaikin Money Flow dropped sharply through July, pointing to sustained capital outflows, while open interest climbed to roughly $60 million even as the price fell, suggesting fresh speculative positions were entering the market. Specter had earlier said team-linked selling after the unlock was weighing on LAB and that allocated holdings once valued at nearly $977 million on paper had fallen to about $4 million.