Solana News Today: Solana Price Drops 10% After $17 Million Whale Sell-Off Triggers Long Squeeze

A large cryptocurrency whale recently offloaded $17 million worth of Solana (SOL), triggering a record $57 million long squeeze and intensifying bearish sentiment across the market. The sudden sell-off has pushed Solana’s price down by approximately 10%, with analysts speculating that it could potentially drop to $120. The transaction involved the transfer of 108,016 SOL to major exchanges, yet Solana’s leadership, including Anatoly Yakovenko and Raj Gokal, has remained silent on the matter, offering no official statements or commentary [1].

The market reaction has been swift, with broader implications for related assets. Bitcoin (BTC), Ethereum (ETH), and XRP have all experienced shifts in price movement and investor behavior. The decline in Solana’s price has also affected the Total Value Locked (TVL) metrics across the ecosystem, while negative funding rates have impacted leveraged positions. Community sentiment indices from CFGI have recorded a downturn, reinforcing the negative outlook [1].

Historically, similar whale-driven sell-offs have led to rapid market rebounds when influenced by macroeconomic news or network upgrades. However, in the current climate of sustained selling pressure and bearish funding rates, the possibility of a prolonged downturn for Solana cannot be ruled out [1]. Analysts are monitoring regulatory developments and macroeconomic conditions for potential signs of stabilization. Arthur Hayes, co-founder of BitMEX, has highlighted the significance of macroeconomic shifts and geopolitical factors in shaping crypto price movements. In a recent X post, he suggested that Bitcoin could test $100,000 and Ethereum could reclaim $3,000, should key macroeconomic tensions persist [1].

Hayes’ on-chain activity has further fueled speculation. According to Lookonchain, he transferred large quantities of ETH, ENA, and PEPE to Binance and decentralized exchanges in a six-hour window. This move has sparked discussions about whether he is hedging against macroeconomic volatility or positioning for anticipated market changes tied to the upcoming U.S. tariff bill, expected in Q3. Hayes has indicated that the trades may be part of a broader strategy, with more insights to be revealed at his WebX Asia keynote on August 25 [1].

The broader crypto market also shows signs of increased activity, particularly with growing demand for spot crypto ETFs in the U.S. These ETFs, especially those including Solana, reflect a maturing institutional interest in digital assets and the expectation of a more regulated trading environment. Analysts believe that regulatory clarity could further boost market participation, especially as macroeconomic conditions continue to evolve [2].

Despite some stabilization in XRP, trading in the $2.94–$2.98 range following a sharp selloff, the broader market remains sensitive to macroeconomic and geopolitical developments. Investors are closely watching key U.S. fiscal policy updates for potential signals of market direction [3]. As the crypto space navigates a period of uncertainty, strategic positioning and portfolio adjustments by influential figures like Hayes are playing a growing role in shaping market sentiment.

The evolving regulatory landscape and macroeconomic conditions continue to build a narrative of cautious optimism in the market. Whether these factors will lead to a broader breakout in crypto remains to be seen. For now, the market is closely observing regulatory developments and on-chain signals from key players, as their actions and forecasts continue to draw significant attention [1].

Source:

[1] https://cryptodnes.bg/en/arthur-hayes-gives-his-btc-and-eth-price-predictions-amid-tariff-pressure/

[2] https://coinpedia.org/crypto-live-news/

[3] https://www.bitget.com/academy/xrp-price-news-selloff-coming