Solana Whale Dumps $28M Worth of SOL, Price Drop Imminent?
The current market appears to be quite chaotic for traders and investors due to significant price movements over the past few days. Amid market uncertainty, a crypto whale reportedly dumped 149,999 cryptocurrencies. Solana(Sun)Worth $27.92 million, it was traced to Binance by Whale Alert, a blockchain-based transaction tracker on X (formerly Twitter).
Crypto whale dumps 149,999 SOL
However, this notable decline occurred on the exchange when Solana’s on-chain indicators showed bullish signs at the key support level of $185. Data from on-chain analytics firm Coinglass shows that the number of traders betting on long positions is more than twice as high as those on short positions.
Bullish on-chain indicators amid whale sell-off
according to dataTraders were overleveraged, reaching levels of $182.5, with long positions worth $93.01 million recorded in the past 24 hours. Meanwhile, the $189.4 level is another overleveraged area where short sellers have accumulated an impressive $47.81 million in short positions.
The data shows that long bets are significantly higher than short bets, reflecting the bullish sentiment among traders.
In addition to trader participation, long-term holders appear to be accumulating tokens. Spot inflow/outflow data shows that the exchange witnessed $50.51 million worth of Solana (SOL) outflows in the past 24 hours.
In the cryptocurrency space, outflows are considered the movement of assets from exchanges to long-term wallet holders, indicating potential accumulation. Additionally, this on-chain indicator can generate buying pressure and drive upwards.
Solana (SOL) Price Action and Key Levels
All of this is happening while SOL is trading near the key support of $183 and the 200 exponential moving average (EMA) on the daily time frame. The daily chart of SOL shows that the altcoin’s price has not seen any significant decline below the 200 EMA since June 2024, making SOL an ideal buying opportunity.
The last time SOL reached this level, it experienced impressive upward momentum. Based on the previous price action, experts and analysts are speculating that a similar upward trend will occur in the coming days. If this happens, SOL is likely to surge 18% to the $220 mark in the near future.
Current Price Momentum
At press time, SOL was trading close to $186, with prices inching down 0.50% over the past 24 hours. Amid widespread uncertainty in the cryptocurrency market, SOL’s trading volume fell by 32.5% during the same period.
