In the last few days, Solana’s price dropped dramatically, initially putting its investors in a panic mode. With the whale’s recent move, however, traders are now more confident in Solana’s future.
By Mayowa Adebajo
Edited by Julia Sakovich
Updated
2 mins read
A big Solana investor, known by the wallet address Guf5kl, has caught the crypto market’s attention by staking 87,328 SOL tokens SOL $124.6 24h volatility: 0.6% Market cap: $63.85 B Vol. 24h: $1.85 B worth about $14.8 million. This is happening at a time when Solana is dealing with issues linked to meme coin controversies.
Lookonchain observed the transaction, and posted the same on X on Wednesday.
It’s worth stating that the crypto market has been struggling, particularly with meme coins like LIBRA, TRUMP TRUMP $10.19 24h volatility: 2.0% Market cap: $2.04 B Vol. 24h: $230.05 M , and MELANIA MELANIA $0.60 24h volatility: 1.6% Market cap: $89.67 M Vol. 24h: $13.53 M experiencing notable declines. Despite this, the whale’s decision to stake a large amount of SOL has given some traders hope that Solana could recover and possibly cross the $200 mark again.
In the last few days, Solana’s price dropped dramatically, initially putting its investors in a panic mode. With the whale’s recent move, however, traders are now more confident in Solana’s future, while investors in other coins remain fairly cautious.
Another reason that this investment stands out is because it also comes at a time when activity on the Solana network is slowing down, and there are allegations of insider trading linked to meme coin launches.
For example, one of the key reasons for Solana’s recent struggles is the LIBRA scandal. The token, which was initially promoted by Argentinian President Javier Milei, saw its market cap soar to over $4 billion before crashing. After the coin dropped, the president deleted his post endorsing the token and denied any association to it.
More than the link to the Argentine president, the LIBRA memecoin incident also involved allegations of insider trading and liquidity pool manipulation. However, those allegations are not exactly unpopular as they are similar to those raised during previous collapses of Solana-based meme coins like MELANIA.
According to reports, the LIBRA team drained the liquidity pool while a trader cashed out $107 million, causing panic in the market. As a result of these setbacks, Solana’s reputation has taken a hit, and its price has suffered.
Meanwhile, as of press time, according to CoinMarketCap data, Solana, the sixth-largest cryptocurrency, was trading at $169.85. In the past 24 hours, it has gained 2.57%, bringing its market cap to $83.38 billion.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Mayowa is a crypto enthusiast/writer whose conversational character is quite evident in his style of writing. He strongly believes in the potential of digital assets and takes every opportunity to reiterate this. He's a reader, a researcher, an astute speaker, and also a budding entrepreneur. Away from crypto however, Mayowa's fancied distractions include soccer or discussing world politics.
