Infrared (IR) Price Prediction

Deep Dive

1. Protocol Utility Expansion (Bullish Impact)

Overview: Infrared plans to activate staking (sIR for governance/fee shares) and Red Fund buybacks in coming weeks. These mechanisms aim to lock supply and align incentives – 23.5% of tokens are earmarked for ecosystem growth.

What this means: Successful adoption could create deflationary pressure, as staking reduces liquid supply. However, similar DeFi tokens often see short-term sell pressure after initial hype (Weex).

2. Token Unlock Overhang (Bearish Impact)

Overview: Only 20.5% of the 1B token supply is circulating. Core contributors (18%), investors (21.3%), and the treasury (15.2%) face 1-year cliffs before gradual unlocks through 2027.

What this means: While the 2025 airdrop (2% supply) has mostly distributed, ~800M tokens remain to be unlocked. Historical data shows tokens often underperform during major unlock events without proportional demand growth.

3. Market Context & Sentiment (Mixed Impact)

Overview: IR launched during "Bitcoin Season" (Altcoin Season Index: 17/100) with crypto fear levels at 22/100. However, its 25% 24h price surge (vs BTC’s -0.7%) shows speculative interest.

What this means: The token’s 2.0 turnover ratio (volume/market cap) suggests traders dominate price action. A shift to "risk-on" altcoin markets could amplify gains, but current macro conditions favor caution.

Conclusion

IR’s near-term price likely hinges on whether staking adoption outpaces vesting-related selling after January 1, 2026. The 205M circulating supply provides room for volatility, but protocol metrics like Total Value Locked (TVL) in PoL vaults will be critical to monitor. Will Infrared’s infrastructure role on Berachain justify its $53M market cap as unlocks begin?