PeckShield, a crypto research company, reports that 750,000 Solana (SOL) tokens have been moved to two addresses from an FTX-labeled address. PeckShield claims that the wallet transferred $110 million to Binance and $31 million to another wallet.
Investors are concerned by this step since it might be the start of the SOL liquidation process for the dead exchange.
Token transfers to exchanges are seen negatively as they raise the likelihood that they will be traded. The price of SOL has dropped 3.1% in the past day, and there are concerns that it may go lower yet. On the weekly charts, the token is still up 23.9%.
FTX Shifts $31 Million in SOL to Binance, Causing 3% Price Dip,FTX Shifts $31 Million in SOL to Binance, Causing 3% Price Dip
Earlier this year, FTX’s plea to sell its Solana (SOL) shares was granted by a U.S. court. Furthermore, the majority of FTX’s cryptocurrency holdings are SOL. The U.S. bankruptcy court stated that FTX owned SOL valued at $1.16 billion.
Is FTX selling off its properties in Solana?
The court has given the now-defunct exchange authority to sell its SOL holdings in order to reimburse shareholders and consumers. It remains to be seen, though, if the market can tolerate the dumping. If FTX hasn’t already, investors could expect a jump in sell pressure when it starts to liquidate its SOL holdings.
Furthermore, Solana (SOL) fell 9% on the daily charts on the news of Sam Bankman-Fried, the founder of FTX, being found guilty. It’s likely that investors had assumed the collapsing exchange will shortly start its liquidation procedure.
Despite being among the top-performing cryptocurrency assets in 2023, SOL’s price may see a significant decline. But the project has shown itself resilient before, so it might be able to get past this most recent obstacle without any trouble.
FTX Shifts $31 Million in SOL to Binance, Causing 3% Price Dip,FTX Shifts $31 Million in SOL to Binance, Causing 3% Price Dip,FTX Shifts $31 Million in SOL to Binance, Causing 3% Price Dip , SOL coin Crypto news, SOL coin News