- A significant crypto investor unstaked 120,197 SOL tokens and transferred them to Binance, indicating a bearish trend.
- Solana’s price may see an uptrend only if it breaks through consolidation and closes above $154.
In the midst of increased volatility in the crypto market, Solana [SOL] managed to avoid a major decline by staying above the $143.5 support level, largely due to Bitcoin [BTC].
On May 6th, while most cryptocurrencies were experiencing a downturn, SOL briefly dropped below this crucial support level.
Market Sentiment & Current Price Movement
However, a sudden 3% surge in BTC’s price led to a positive market trend, enabling SOL to recover quickly.
At the time of writing, SOL was up by 2.75%, trading around $147.50 with an intraday high of $149.50. This rapid recovery attracted attention, with trading volume increasing by 40% in the last 24 hours.
Large Unstaking of SOL Tokens by Crypto Whale
The current market conditions and volatility seem to have prompted a major Solana investor to take action.
According to Onchain Lens, a whale unstaked 120,197 SOL tokens worth $17.55 million and transferred them to Binance.
Source: X
This significant amount of SOL tokens was unstaked after being locked for six months. Despite earning a reward of 3,802 SOL during this period, the investor still incurred a loss of $7.8 million.
Such a substantial unstaking, especially followed by a transfer to Binance, often indicates a potential intent to sell. This could introduce short-term selling pressure and hinder SOL’s upward momentum.
Solana Price Analysis and Future Levels
According to AMBCrypto’s technical analysis, SOL seems to be consolidating within a narrow range of $143.5 to $154 over the past two weeks, following a breakout above the key resistance level at $143.
Source: TradingView
Despite the sideways price movement post-breakout, which is typically bullish, if SOL surpasses $154, a 15% increase could be expected, pushing the price towards $180.
On the downside, a drop below $143.5 could trigger a decline to $132 in the short term.
Given the recent price volatility, a well-known crypto expert noted on X (formerly Twitter) that $120 is the strongest historical support level for SOL.
This price zone has historically led to price reversals during market downturns. Therefore, if prices decline again, $120 could present a significant “buy-the-dip” opportunity.
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