Solana ($SOL ) price has plunged over 9% on the day and is down 16% on the week and 9% on the month. With a major token unlock event approaching, investors are worried: could the price drop even further? Like this post to stay up to date with this crucial move! 👇
Massive SOL Unlock On The Way
On March 1, 2025, approximately 11.2 million $SOL will be unlocked, equivalent to approximately $1.75 billion at current prices. This amount represents 2.23% of Solana’s total supply, making it one of the largest unlock events in the asset’s history.
A large portion of these tokens came from FTX’s bankruptcy auctions, where they were purchased at an average price of $64 by entities like Galaxy Digital. This suggests that many investors may be taking profits once the assets are released, adding further selling pressure to the market.
Does technical analysis point to further declines?
Since reaching an all-time high of $295 in January, $SOL has entered a bearish trend, getting rejected by an ascending resistance line. This has seen the price fall to $153 after failing to hold above the $155 support.
Now, the next crucial support is at the $126 region, a zone of strong demand. Furthermore, the 50-week moving average, which is currently at $173, has started acting as resistance.
The MACD indicator shows an increase in bearish momentum, with the signal line crossing below the MACD line, which reinforces the selling pressure in the short term.
Is there hope for recovery?
While the current scenario is uncertain, Solana still has a history of strong demand at levels close to $126. If buyers re-enter the market in force at these levels, we could see a possible reversal and price recovery.
Stay tuned for the next few days! Do you think Solana will be able to hold on or are new drops on the way? Comment below! ⬇️
Source: CoinsProbe
Disclaimer: This content is not investment advice. Please do your own research and be fully informed before making any decisions.
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