---
*Why is Solana Dropping? 🤔*
On *February 24, 2025*, *Solana* experienced a significant drop, falling by over *7%* to *158.46*, marking its lowest point of the year so far. 😬 The main factor behind this crash is the upcoming *FTX unlock event* that’s set for *March 1*, where *11.2 million SOL* tokens (valued at *1.77 billion*) will be unlocked and potentially released into the market. 🔓
This upcoming *unlocking event* has investors worried about increased *token supply*. When there’s a sudden surge in supply without an immediate increase in demand, it can cause the price to drop as sellers flood the market. 📉 This is exactly what many fear could happen to *SOL* once those *11.2 million tokens* are unlocked.
---
*Current Market Stats 📊*
- *Price*: 159.29 (-6.9
- *Weekly Performance*: -13
- *Monthly Performance*: -35
- *Market Cap*:78 billion
- *Fully Diluted Valuation*: $95 billion
Solana’s *DEX volume* has also been hit hard, with a *36.71.5 billion*, down from previous levels. Not to mention, *Solana* has lost *10 billion in market cap* and *fully diluted valuation* since February 24. 😲
—
*So, What’s Next for Solana? 🔮*
With the *FTX unlocking* looming, we may see further *downward pressure* on *SOL*'s price. Here’s what could happen:
- *Short-Term Bearishness*:
The immediate future looks bearish for *Solana*. With the *11.2 million SOL* about to be unlocked, many expect *more selling pressure* and potential *price dips*. If the price stays below160 for the next few days, it might continue to decline as investors react to the uncertainty.
- *Possible Rebound (Post-Unlock)*:
After the *unlocking* event on *March 1*, we might see a *short-term price drop*, but there’s also a possibility of *recovery* if *demand* picks up and *market confidence* returns. If *Solana* can prove it has a strong use case and solid *developer activity*, it could bounce back like it has in the past #ETHPriceWatch
---$BTC