Solana price climbs above $200 after Pump.fun’s $55M SOL transfer
Solana's (CRYPTO:SOL) price experienced a 10% increase, rising above $200 after Pump.fun transferred $55 million worth of SOL tokens to Kraken exchange.
On January 1, Pump.fun, the memecoin platform, made two notable transfers of Solana tokens.
The first transfer was valued at $22.8 million and occurred at 4:37 pm UTC, while the second transfer, worth $32.7 million, happened at 5:45 pm UTC, according to data from Solscan.
The price of SOL had dropped to $189 earlier but started to climb around 6:00 pm UTC, shortly after the second transaction.
Throughout 2024, Pump.fun has been responsible for significant sell pressure on Solana.
The platform has deposited over $303 million worth of SOL to Kraken and sold more than $41 million in SOL tokens, according to data from Lookonchain.
Despite these sales, Solana’s price rebounded as anticipation grows around the possibility of a U.S. Solana exchange-traded fund (ETF).
Investors are speculating that the approval of a Solana ETF could push the price to $400 by the end of 2025.
Polymarket data suggests a 76% chance of a U.S. spot Solana ETF approval, with major asset management firms such as VanEck, Grayscale, and Bitwise competing for approval.
The deadline for Grayscale’s Solana ETF application is January 23, and the other applicants expect a preliminary decision by January 25.
In August 2024, Brazil approved its first Solana ETF, setting a precedent for other regions.
Solana’s price also saw a significant increase in December, driven by expectations surrounding the potential U.S. ETF approval.
At the time of reporting, the Solana price was $206.85.
