Solana’s Price Falls Below $160 Amid FTX Unlocking concerns
On February 24, Solana’s price took a meaningful hit, dropping over 7% to $158.46. This is the lowest point for SOL this year. The last time it fell below $160 was on October 20, 2024. Currently, Solana is trading around $159.29.
Data from crypto.news shows Solana has decreased by 6.9% in the past 24 hours. In the last week, it has lost nearly 13%, and over the past month, it has fallen by more than 35%. Solana’s market cap is now at $78 billion.
Why is this happening? the upcoming FTX unlocking of 11.2 million SOL, worth about $1.77 billion, is causing concern. This event on March 1 could affect Solana’s liquidity and price stability. The increase in token supply might put pressure on Solana’s price,leading to a significant drop.
However, this could be an opportunity for investors to buy more solana. If demand remains strong, the price might rebound soon. According to Amberdata, last week, SOL block trades on Deribit accounted for nearly 25% of all Solana options activity.
During price drops, large investors often use put options.These contracts give them the right to buy or sell assets, protecting them from market volatility.
