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A major Solana whale deposit sparks speculation, hinting at a potential shift in market momentum.
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Solana’s price neared the breakout zone as whale activity stirs renewed interest.
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Liquidation clusters cleared while Open Interest dipped, signaling a potential trend reset.
This article analyzes recent whale activity in Solana (SOL) and its influence on price movements and market sentiment, providing insights into potential future trends.
Can Solana break out of its months-long downtrend?
At the time of writing, Solana was trading at $118.74, down 4.41% in the last 24 hours. On the chart, Solana was bouncing off a well-defined support zone near $115, forming a clear double bottom pattern.
Additionally, Solana’s price action was approaching the upper boundary of a descending channel that has constrained it for weeks.
If bullish momentum drives the price beyond $120, it could trigger fresh upward movement. However, failure to break this level might lead to renewed selling pressure, potentially testing the $110 support once again.
Source: TradingView
Why is Solana dominating crypto conversations?
Social Volume for Solana has surged, with over 2,285 mentions and social dominance climbing to 14.96%. This spike indicates growing trader interest, potentially driven by the technical setup and whale movement.
Moreover, the rise in discussions often reflects speculative anticipation, which fuels short-term volatility. Therefore, increased social buzz could be an early sign of a breakthrough attempt or a false rally trap.
Source: Santiment
What does the liquidation map reveal about price pressure?
The Binance liquidation heatmap showed heavy liquidation activity, concentrated between $117 and $122. As price dipped into this zone, it triggered long liquidations that accelerated the decline.
However, clearing out these over-leveraged positions reduces downside pressure and strengthens price stability. A clean move above $122 could force short positions to close, potentially igniting a rally toward $130.
Source: Coinglass
How does Open Interest shape market expectations?
Solana’s Open Interest (OI) dropped by 6.05% and was sitting at $4.57 billion at press time. This decline shows that traders are de-risking, likely in response to volatility and uncertain direction.
However, falling OI often signals a healthier market structure, as excessive leverage gets flushed out. Therefore, a recovery in price with stable or rising open interest could confirm a more sustainable uptrend.
Source: Coinglass
What next for SOL
Given the whale’s remaining stake, strong technical rebound, increased social sentiment, and reduced leverage pressure, the move seems strategic rather than fear-driven. The deposit to Binance could be a positioning strategy ahead of anticipated market volatility.
Additionally, the current momentum indicates that Solana may be gearing up for a breakout if it reclaims key levels.
However, caution remains essential, as short-term fluctuations or selling pressure might arise before a definitive move materializes.
