A cryptocurrency wallet with the address H4y…gFZ, belonging to either FTX/Alameda or linked to them, has redeemed 177,693 Solana tokens from the Solana Proof-of-Stake (PoS) network. FTX, a major holder of Solana (SOL) coins, sold off a significant amount during the crash in November 2022.
The movement of $23.75 million worth of Solana coins from the FTX/Alameda-affiliated wallet to centralized exchanges (CEX) has sparked discussions within the crypto community. Despite this recent transfer, the wallet still holds a substantial amount of SOL tokens, with 7.057 million SOL valued at $943 million currently staked. It is speculated that most of the Solana coins previously held by FTX were sold via over-the-counter (OTC) transactions.
Solana’s price remains steady, trading at $135 with a market cap of $63.57 billion, showing a 1.93% increase. The SOL price has risen by 35% since the beginning of 2024 and over 650% on a yearly basis.
The timing of the recent movement of SOL by the FTX/Alameda-affiliated wallet coincides with the upcoming court appearance of former Alameda CEO Caroline Ellison on September 24. Reports suggest that her cooperation and testimony may lead to a reduced sentence period.
Following a strong performance in 2023, SOL has seen modest returns in 2024. Despite reaching $209 in March, along with Bitcoin’s new all-time high, SOL has entered a downward trend. Currently stabilizing around $130, the SOL price is potentially gearing up for a reversal.
For SOL to rally further, several catalysts such as network enhancements, meme coin resurgence, institutional investments, and potential ETF launches are needed. The Solana meme coin frenzy was a key driver behind its rally to $200 in March. A collective growth in these areas could propel SOL’s price to $1000 by 2025.