FTX liquidated $100 million SOL in 10 days, but there is more to go
Sam Bankman-Fried, the founding father of FTX and Alameda Analysis, was discovered responsible of seven counts of fraud and conspiracy after 15 days of testimony. In the meantime, crypto pockets addresses owned by these firms have dumped tens of millions of {dollars} in cryptocurrencies prior to now 10 days.
Notably affecting Solana (SOL), FTX and Alameda’s recognized addresses have deposited a complete of two.69 million SOL ($99.2 million) to cryptocurrency exchanges since October 24.
The newest three deposits registered by Spot On Chain summed as much as 800,000 SOL ($32.7 million) despatched to Binance and Kraken on November 2. FTX made these deposits at a mean worth of $40.9 per token.
Notably, each firms nonetheless maintain 4.26 million SOL ($164 million), of which 3.96 million tokens ($152 million) are below staking. Regardless of being momentarily illiquid on Solana’s protocol, the staked quantity might be redeemed at any time. This may create one other sell-off menace which may affect SOL’s worth within the quick time period.
It’s estimated that FTX and Alameda Analysis have liquidated greater than $200 million in crypto belongings prior to now 10 days.
SOL worth evaluation
In the meantime, Solana’s spot and derivatives quantity have surged in the previous few days throughout a bull rally for the layer-1 web3 blockchain. Apparently, SOL has persistently been among the many greatest performers within the crypto market in several time frames.
On the time of publication, SOL was buying and selling at $38.89 with huge each day losses superior to 12%. The market expects extra liquidations from FTX and Alameda, with Sam being pled responsible.
However, Solana is up 19% and 66% within the final seven and 30 days, respectively. Displaying power regardless of the sell-offs with steady growth and constructive information for its ecosystem, which generates demand for the native token SOL.
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