SOL nosedives below $160 as FTX Solana unlocking looms

Sol has dropped by more than 7% at levels of less than $ 160 while investors tire of the next Solana unlocking 11.2 million FTX.

February 24, Solana (GROUND) took a nose, decreasing by more than 7% to $ 158.46, the lowest it was this year. The last time Sol fell below $ 160, it was October 20, 2024, when it closed at $ 159.64. At the time of the press, Solana failed to go up beyond $ 160 and remained at around $ 159.

According to data From Crypto.News, Solana has dropped by 6.9% in the last 24 hours. The token is currently negotiating at $ 159.29. During last week, Solana decreased by almost 13% and even more in the last month. Solana has dropped more than 35% in the last 30 days.

Solana’s market capitalization is currently 78 billion dollars, with an entirely diluted evaluation of $ 95 billion. A few days earlier, on February 24, Solana succeeded in a brief rebound in her previous collapse, exceeding the $ 180 mark.

According to data According to Defi Llama, Solana’s DEX volume has suffered a similar loss. The Blockchain DEX volume decreased by 36.7% in last week. At the time of writing the time of writing the volume of the weekly DEX of Solana amounted to $ 16.6 billion, while its daily DEX volume is at $ 1.5 billion.

Since February 24, Solana has lost nearly $ 10 billion in market capitalization as well as the same fully diluted volume amount.

Why is Sol falls?

With the unlocking of the FTX of 11.2 million soil, or equal to $ 1.77 billion, to come on March 1, many investors have tired so that the event can influence the liquidity and stability of the price of from Solana. The influx in the token supply could result in pressure on Solana’s price, which has potentially triggered a significant drop.

However, investors could take advantage of the opportunity presented by the drop in prices to accumulate more Solana. If demand resists, Solana’s price could see a rebound soon.

According to AmbredataLast week, Sol Block results in derivative of the cryptocurrency exchange derible represented almost 25% of all Solana option activities, or $ 32.39 million out of the total of 130.74 million Dollars. This marks the second largest part of the soil block transactions never recorded, with almost 80% of the block transactions concentrated in put contracts.

During a drop in prices, whale investors often opted for power options that are run over the counter rather than regular purchase orders on the stock market. The installation options are derivative contracts that give investors the right to buy or sell the assets, instead of an obligation. This gives buyers a more minimal impact, protecting them from potential market volatility.