Massive Solana (SOL) on Move, Potential Sell-off Incoming?

Solana (SOL) is on a sensational path as its price has once again soared to its highest level for the year. At the time of writing, data from CoinMarketCap pegs the price at $88.10, up by 10.5% in the past 24 hours. The price outlook has extended Solana’s growth rate for the year as the coin has jumped by 785% year to date (YTD).

While market observers are celebrating this impressive Solana feat, some whales might be plotting a liquidation move that might trigger the cryptocurrencies’ bearish reversal. Data from market analytics platform Whale Alert has revealed the transfer of 582,198 SOL worth a total of $50,983,065 at the time the transaction was initiated.

🚨 🚨 🚨 582,198 #SOL (50,983,065 USD) transferred from unknown wallet to unknown new wallethttps://t.co/foXyDuSJfK

— Whale Alert (@whale_alert) December 21, 2023

This transaction leaves plenty of room for speculation as the funds emanated from an unknown wallet to another unregistered address. One plausible explanation for this massive move might be that this is an over-the-counter (OTC) transaction, which explains why the addresses are not linked to a crypto trading platform.

As a reliable tracker of whale transactions, this Solana shift is the first major one recorded thus far this week, further lending credence to the possible sell-off thesis.

Solana outpacing key rivals

After months of trailing behind XRP, the latest Solana price surge has pushed the digital currency to fifth place among the largest cryptocurrencies by market capitalization. At the time of writing, Solana’s market cap is pegged at $37,737,499,927, while that of XRP comes in at $33,448,755,775.

Besides XRP, Solana is also outpacing Ethereum in terms of DeFi volume surge. As reported earlier by U.Today, Solana has sustained its rally in total DEX volumes ahead of Ethereum as the BONK frenzy and Inscriptions are driving rare bullish sentiment across the network’s ecosystem.

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