Solana price is gaining today after a recovery across the broader crypto market. However, a recent $20M move by a Solana whale has stirred speculation about whether a reversal was imminent. As the Solana blockchain shows signs of strength by outperforming other blockchains by revenues, can SOL price avoid a potential reversal and rally towards the $300 peak?
Solana Whale Moves $20M SOL – Impact on Price?
Solana price is facing potential sell-side pressure from whales. This is after a Solana whale unstaked 134,902 SOL tokens valued at nearly $20M. This large address is preparing to sell after setting multiple limit orders between the prices of $171 and $294.
SOL unstaking
This move happened a few hours after the FTX/Alameda bankruptcy estate deposited 3.03M SOL to Binance. According to Lookonchain, these tokens are worth approximately $438M.
If large addresses are unstaking SOL and moving tokens to exchanges, it could have a major implication on the price. The additional selling pressure from FTX unlocks could impact Solana price as the crypto market remains in a state of fear.
Can Network Growth Fuel a Rally to $300?
As whale activity increases the risk of a bearish Solana price prediction, blockchain activity suggests that a rally to $300 is likely to happen. In February, Solana dominated blockchain app revenue, with apps generating $285M in revenue.
Solana app revenue
This dominance suggests that decentralized applications (dApps) created on Solana are gaining traction and driving capital inflows to the blockchain. This could fuel the bullish sentiment around SOL and potentially drive a rally to $300.
However as Coingape previously reported, high app revenues suggest Solana price may have hit a local top. If this is the case, SOL may continue struggling under bearish pressure.
Key Solana Price Levels to Watch
Solana price today trades at $145 after an 8% gain in 24 hours. SOL is moving within a descending parallel channel on the daily chart, which shows a bearish trend is prevalent. However, bulls are attempting a breakout from the upper trendline. If buying pressure leads to SOL making a decisive breakout from the upper trendline, it may drive a price rally.
The RSI is rising, indicating that buyers are gaining momentum. However, the RSI value below 50 shows that bears remain in control.
The on-balance volume indicator is also rising, which shows that the buying pressure is gaining strength. This rising OBV indicates that investors are actively buying SOL, which may precede a rally.
If these bullish trends continue, SOL faces resistance at $176. Breaking out of this level may kickstart a rally towards $300.
SOL/USDT: 1-day Chart
Solana’s technical outlook shows that despite the recent gains, a bearish momentum remains in play. However, a surge in network activity could boost investor confidence and support a $300 rally for Solana price.
The post Solana Whale Moves $20M SOL Amid Price Struggles – Can Network Growth Fuel a Rally to $300? appeared first on CoinGape.
