A whopping $227 million worth of Solana was moved to centralized exchanges last week clouding the bullish outlook given by the token’s technical indicators.
Last week witnessed the highest influx of SOL to CEX since the third week of March 2024. About $227 million SOL moved to Centralized exchanges in the course of 7 days.
Interestingly the spike in influx recorded in March last year coincided with SOL price peaking at $200 against popularly held market beliefs.
Historically, large movements of a particular crypto asset to exchanges often signal that holders of that token are gearing up to sell off their assets or intensify trading with them.
Thus Solana hitting a 10-month record high in influx of assets to Centralized Exchanges signals an impending selling spree by its holders.
This does not look good for the crypto assets Technical indicators that suggest prices could re-visit the November high of over $260, having recently defended key support in a bullish “throwback” pattern.
Coindesk reports that Activity in the Deribit-listed SOL options market shows a lack of bullish excitement.
Per data analytics platform Amberdata, traders have been net sellers of the upside (call options) in SOL.
Solana Price Analysis
At the time of the report, Solana is exchanging hands for $214 surging by a mere 0.4% in the last 24 hours. The crypto asset is up by 11.1% and 15.9% on a 7 and 14-day scale respectively.
The token is down 18.6% from its all-time high of $263.21 which it tested on November 23, 2024.
Solana remains one of the fastest and busiest blockchains in the industry. The blockchain is popularly known as a home to memecoins due to its Pumpfun feature that allows anyone to create a memecoin in a few clicks.
Solana Memecoins were a key area of interest last year according to Coingecko’s Annual Report.
