1 February 2024
Two high-volume transactions involving Solana (SOL) have caught the attention of the crypto community considering the impact they could have on the crypto token’s price. Moreover, these transactions have come at a time when SOL risks dropping below the psychological price level of $90.
Solana Whales Move $82 Million Worth Of SOL
Data from the blockchain analytics platform Whale Alert shows that an unknown wallet address (7v2M…Ao3C) moved 659,283 SOL to another unknown wallet address (3vxh…gkom). The movement of such a significant amount of SOL has raised speculations as to what the intention of the wallet owner might be.
A common theory is that the transaction might have been made in a bid to offload these crypto tokens. That could have a negative impact on SOL’s price, considering how much is involved. However, the fact that the SOL tokens weren’t sent to a centralized exchange helps to counter this theory and raises the possibility of the tokens being transferred for other purposes.
Meanwhile, the second recent whale move provides some needed relief to the Solana community, considering the nature of the transaction. Data from Whale Alert shows that 150,000 SOL was sent from a wallet address linked to the Bybit crypto exchange to an unknown wallet address (42br…pJFd).
Moving tokens from a centralized exchange (CEX) like Bybit usually passes a bullish narrative as it suggests that the token holder was likely moving their tokens to cold storage. Such a move also means that the Solana whale in question was planning on holding the token long-term, as they believe in its potential to make more gains in the future.
SOL To Drop Below $90?
Like the rest of the broader crypto market, SOL has recently suffered a decline in its price, dropping below the $100 support level in the process. This current downward trend has also raised fears that SOL could retest the $90 price level and even drop below it if it is unable to find support at that level.
Crypto analyst Bluntz Capital recently provided some insights into where SOL’s price might be headed from a technical analysis standpoint. According to him, SOL is likely to “bounce first before coming down for a C wave down into the 0.618 later on.” From the accompanying chart he shared, one could see that the C wave is placed at $88.99, just below the $90 level.
At the time of writing, SOL is trading at around $93, down over 7% in the last 24 hours, according to data from CoinMarketCap.