Solana Drops 15% as Whales Sell $46M in Massive Dump

Solana's price has experienced a significant decline, dropping by 15% over the past week. This downturn is largely attributed to a substantial sell-off by whales, who collectively unstaked and offloaded approximately $46 million worth of SOL in recent days. The massive dump has intensified selling pressure, leading to a bearish sentiment among traders and investors. As of the latest data, Solana is trading at $115.91, marking a 3% decrease in the past 24 hours and a 14% decline on a weekly basis. The monthly drop exceeds 18%, aligning with broader market trends that have been influenced by heightened selling pressure.

The recent whale activity, as tracked by Lookonchain, reveals that four wallet addresses were involved in the significant dump. These addresses collectively offloaded $46 million worth of SOL, with individual transactions ranging from $3 million to $30.3 million. Such large-scale selling typically exacerbates bearish sentiments, as the increased supply on exchanges can drive down prices further. Investors are now cautious, given the negative market dynamics and the overall uncertainty in the broader market.

The current market conditions are further complicated by macroeconomic trends that present risk assets with uncertainty. The commencement of reciprocal tariffs by Donald Trump has led to offsetting movements in Bitcoin prices, which in turn has influenced the altcoin market, including Solana. The broader crypto market is expected to face volatility in the short term, as Bitcoin prices are anticipated to mimic stock market movements. This correlation adds to the overall bearish outlook, as investors remain wary of the potential impact on their portfolios.

Despite the current downtrend, some analysts maintain a bullish outlook for Solana. Brandon Hong, a crypto market analyst, recently posted on X, predicting that SOL is on the verge of its biggest breakout ever. Hong's optimism is based on the coin's potential to break its 400-day range, suggesting that current prices may present a buying opportunity. However, this bullish sentiment is contrasted by the prevailing market conditions, which continue to pose challenges for Solana's recovery. Investors and traders are closely monitoring the token's price action, awaiting any shifts that could signal a change in the current bearish trend.