FTX Wallet Withdraws Large Amount of Solana (SOL)
A significant development in the crypto world is catching the attention of investors. A wallet linked to FTX/Alameda has recently withdrawn 177,693 Solana (SOL) tokens from the Solana network. FTX was once one of the largest holders of Solana. During the November 2022 collapse, large amounts of SOL were sold by the exchange. Now, the community is speculating whether these tokens will be moved to centralized exchanges (CEX), causing a heated discussion within the crypto space.
Will FTX Sell All Its Solana Tokens?
According to Solscan, the FTX/Alameda-linked wallet has withdrawn SOL worth $23.75 million from the Solana Proof-of-Stake (PoS) network. This move has sparked concern among the community about whether these tokens will be transferred to centralized exchanges, triggering a potential sell-off. FTX’s recent actions have drawn significant attention from investors, many of whom fear that if these tokens are transferred to exchanges, the price of SOL could face immense selling pressure.
The fallout from FTX has already had a deep impact on the broader crypto market. Bitcoin and Solana (SOL) were among the most affected coins due to FTX’s collapse. However, the recent withdrawal from the wallet is still relatively small compared to the total amount of SOL the wallet holds. The H4y…gFZ wallet still holds 7.057 million SOL, valued at $943 million. Some reports also suggest that FTX may have sold some of these tokens through over-the-counter (OTC) deals, although these claims are yet to be confirmed. Investors are closely watching the market, fearing how these large sales might affect prices.
Will Solana’s Price Movements Continue?
Despite these concerns, Solana’s price has continued its steady rise, currently trading at $135 with a 1.93% increase. Its market cap stands at $63.57 billion, and since the start of 2024, SOL has seen a 35% price increase, delighting investors. On a yearly basis, Solana has grown by 650%, showcasing impressive growth in 2023.
Solana had a remarkable year in 2023 but has offered more modest returns in 2024. After Bitcoin’s peak in March, Solana’s price soared to $209, but since then, it has experienced a downward trend. At present, the price appears to have found support around the $130 level, with investors anticipating a potential recovery. Market analysts are keeping a close eye on the catalysts that could drive this rebound.
Will Solana Continue to Rise in 2024?
Solana has strong potential for another rally in 2024, but this rise will likely require several key drivers:
- Network upgrades
- The return of the meme coin trend
- Increased institutional investments
- Potential ETF launches
Additionally, potential ETF launches may further positively impact Solana’s future price movements. During the meme coin craze in March, Solana’s price reached $200, driven by market excitement.
If these developments come together, some analysts believe that Solana could reach $1,000 by 2025. Investors are closely monitoring Solana’s performance, as continued innovation and upgrades on the network could solidify its position in the market. If market conditions remain favorable, Solana is expected to perform well throughout 2024.
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