Solana is reeling from a recent revelation tied to the collapse of the crypto exchange FTX. An informer with alleged insider knowledge claims that FTX, now bankrupt, is sitting on a vast amount of Solana tokens—potentially as much as 8% of the entire SOL supply.
If true, this stash could consist of approximately 46.5 million SOL tokens, valued at about $7 billion given the current market price of $150.
A social media user known as Wise Advice cautioned, “I’m not saying Solana will go to zero, but if FTX starts selling these tokens, it could massively impact Solana’s price.” Indeed, following the revelation, Solana’s price plummeted below the crucial $160 support level.
In the past two weeks alone, SOL has dropped more than 9%, with nearly 4% of that decline occurring in just the last 24 hours as speculation swirled around FTX’s potential hidden stash.
This new development comes shortly after the FTX estate’s recent sale of SOL tokens. Just two months ago, the estate offloaded $2.6 billion worth of SOL at approximately $102 per token to repay creditors. Large venture capital firms, including Pantera Capital and Figure Markets, acquired a significant portion of this discounted SOL, though these tokens are locked up under a multi-year vesting period.
However, the alleged FTX stash could overshadow the impact of the previous sales. If over $7 billion worth of SOL tokens were to be sold on the open market, it could exert severe selling pressure on the cryptocurrency, potentially derailing its bullish momentum.
Analyst Pratty Crypto points to technical indicators suggesting that Solana might face further declines. Pratty notes that SOL is currently trading below its mid-range from the previous quarter, testing key support levels, and retracing 62% of its recent price gains. With these factors in play, Solana could be at risk of falling into the $140s, and deeper declines into the $130-$150 range may be challenging to reverse.
While the allegations remain unverified and no official confirmation has been provided regarding the potential sale of these tokens by the FTX estate, the market remains on edge.
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