Solana Whale Makes Massive 1,000,000 SOL Deposit To Binance, Bearish Sign?
March 20 2024 - 9:30PM
NEWSBTC
On-chain data shows a Solana whale has just moved a massive SOL
stack to Binance, which could prove to be bearish for the asset’s
price. Solana Whale Has Deposited 1 Million SOL To Binance Today
According to data from the cryptocurrency transaction tracker
service Whale Alert, several large SOL transactions have occurred
on the blockchain during the past day. More specifically, six
massive transfers have been spotted on the network. Out of these,
two transactions were gigantic, with tokens worth $362 million and
$498 million involved. Related Reading: Santiment Reveals Best
Altcoins Currently In “Opportunity Zone” These extraordinary
transfers, though, were both between unknown wallets. Addresses
like these are those unattached to any known centralized exchange,
so they are usually the users’ personal, self-custodial wallets.
Due to this, transfers between unknown wallets are generally hard
to say anything about. Often, they can be as simple as the investor
moving to a fresh wallet, which is naturally of no particular
consequence for the wider market. The other four whale transactions
from the past day, however, did involve central entities on one
end, so speculation around them can have a bit more ground to stand
on. Out of these four, one transaction in particular stands out. In
this move, a whale shifted 1 million SOL on the network, worth more
than $166 million at the transfer time. Below are some additional
details regarding this transfer. Looks like this massive move only
required a negligible fee of 0.000005 SOL to go through | Source:
Whale Alert As is visible, the receiver in the case of this
transaction was a wallet affiliated with the cryptocurrency
exchange Binance, implying that the whale transferred coins from
their address to the platform. Such transactions are known as
exchange inflows. Users make these transfers when they want to use
one of the exchange services, which can include selling. As such,
exchange inflows may sometimes be bearish for the cryptocurrency.
In particular, massive inflows made by the whales can exert some
visible fluctuations on the market. Just like this huge SOL
transfer, the other three transactions mentioned before were also
exchange inflows. They were significantly smaller in scale, though,
with their average value being $33.2 million. Two of these
transactions also went to Binance, while the third (and the latest)
headed to Coinbase. Interestingly, the address pairs in these two
Binance transfers were the same, hinting that the same whale may
have been responsible for them. With the four exchange inflows,
Solana, worth $265.6 million, has now found its way to exchanges.
This is clearly a notable amount, so it may impact the asset’s
price. Related Reading: Bitcoin Plunges Under $63,000, Here’s Where
Next On-Chain Support Is There is no guarantee, however, that any
of the whales involved made these transactions for selling; it’s
possible that they made the moves for some other purpose that’s not
directly relevant to the market. Although Solana has been sliding
off over the past few days, the possibility of these whales
deciding to exit certainly exists. SOL Price Following the recent
drawdown Solana has seen, the asset’s price has come down to the
$174 level. The price of the asset appears to have gone through
some drawdown recently | Source: SOLUSD on TradingView Featured
image from Rod Long on Unsplash.com, chart from TradingView.com
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