The Key Takeaways
- In a move that sparked fears about a possible sell-off, the defunct companies FTX, Alameda, and 18985 SOL, worth 30.94 millions dollars, were found to have staked a total of 18985 SOL. But yet, Coinglass data shows that Bulls might be taking control with $182.72 Million in longs positions and $80,000,000 in shorts.
When you get three green consecutive candles. Solana (SOL) The price chart turned bullish. It seemed, as of the writing of this post, that it was poised to have a major rally in price soon. Recent reports from blockchain transaction tracker Lookonchain have raised concern about the possibility of a price decline in coming days.
FTX and Alameda stake $31M in SOL
The 11th of July is a national holiday. Lookonchain A post was shared on X, formerly Twitter. It revealed that defunct crypto-exchange FTX as well as bankrupt trading firms Alameda have staked 189851 SOL valued at $30.94million. Last time, they unstaked SOL for the payment of $1.2billion to former users who lost funds due to the collapse of the platforms.
SOL investors may be concerned if a substantial amount of unstaking occurs. It can slow the price increase or decrease. The amount in the current case isn’t that big. It is less likely that this will have a significant impact on SOL’s prices.
SOL’s share price had already started to feel the effects of this unstaking. It was especially concerning that it seemed to struggle to keep its price up at the time of press.
SOL, at the time this article was written, traded near $163 with gains over 3.5% in 24 hours. Previously, however, it was around 5.5% and the price was hovering over $166. This modest drop in price can be attributed to FTX or Alameda.
But that’s not it. Investors and traders showed a strong interest in crypto during the same time period. This led to an increase of 55% in trading volumes.
Solana’s (SOL), technical analysis of key levels
AMBCrypto’s technical analysis suggests that SOL was bullish as of press time. It had recently broken multiple bullish patterns.
In the daily timeframe the asset initially broke free from a long-lasting descending pattern. This was followed by a period of consolidation. SOL has recently broken out from a bullish head-and-shoulders pattern as well as its 200 day Exponential Moving Average.
TradingView
The multiple bullish breakouts may be an indication of Solana’s high upside potential. According to its historical and recent patterns, it is possible that SOL could increase by 15 % and reach the $184 level if the price of SOL remains above the neckline.
A price correction is possible due to the upward momentum that has been present over the last four days.
At press time, Solana’s Relative Strength Index (RSI) stood at 63, still trading below the overbought territory – A sign that the asset may have enough room to continue its northbound trajectory.
The traders’ focus is on the long position
It would appear that the traders have a bullish outlook based on current market sentiment.
Coinglass reports that traders appear to have overleveraged themselves at the $161.4 level (where they are heavily bet) as well as at the $167.4 level.
Coinglass
At this level, traders built up $182.72 millions worth of long and short positions. The bulls are likely to continue to dominate the market. SOL’s price There are also higher levels.
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Source: ambcrypto.com
