LayerZero (ZRO) Price Tests Critical Support as $47 Million Token Unlock Begins Today

The LayerZero (ZRO) token is heading into a period of significant pressure as a major supply unlock, set for today, June 20, coincides with an already bearish technical setup on its price chart. This combination of imminent inflationary pressure and weak market momentum has created a high-stakes environment for the interoperability protocol’s native asset.

The event will see nearly 24.7 million ZRO tokens, valued at approximately $47 million, enter the market. This represents a substantial increase to the currently circulating supply and is the first of a series of monthly unlocks scheduled to continue through May 2027.

The core of the concern for ZRO holders is the token’s economic design. With only 11% of the total 1 billion token supply currently in circulation, today’s unlock will significantly increase the number of tokens available for sale. Such events, especially when they are part of a long-term, pre-scheduled release, can create sustained selling pressure as early investors and team members are able to liquidate their holdings.

This looming supply increase is hitting a market that is already showing clear signs of weakness.

ZRO’s price currently sits at , marking a 2.94% drop in the last 24 hours. This a recent surge that pushed prices just above $1.92. Since that peak, the token has followed a steady downward trend, forming lower highs and lower lows a clear indicator of bearish momentum.

A key short-term support level lies between $1.77 and $1.79. This range has acted as a pause zone, halting the ongoing decline. However, if ZRO breaches this support, the next likely stop is near $1.74, a level that previously offered some price stability.

Resistance, on the other hand, has formed between $1.85 and $1.87. Stronger resistance stands at $1.92, the recent high that buyers will need to reclaim to spark any meaningful reversal.

The bearish price action is further confirmed by key momentum indicators. ZRO’s 24-hour volume has dropped around 30% to $31.33 million.

This reduced trader participation or possible profit-taking following the previous rally. The market cap now stands at $197.11 million, underlining the token’s relatively small footprint despite high interest.

Technical indicators further reinforce the caution. The MACD line at 0.0448 remains below the signal line, which sits deeper at 0.2014. This configuration keeps the MACD histogram in negative territory, revealing weak bullish momentum and continued bearish pressure.

Meanwhile, the Relative Strength Index (RSI) has slipped to 41.79. Although not yet oversold, it indicates growing bearish sentiment among traders.