Solana (SOL) has dropped to $116, marking a 12% weekly loss, as investor unease grows following significant whale movements and broader market instability triggered by U.S. tariff announcements.
$46M in SOL Sent to Exchanges
On-chain data from Lookonchain revealed that four major wallet addresses transferred roughly $46 million worth of SOL to exchanges, a move interpreted by many as a bearish signal.
- The largest transfer came from wallet HUJBzd, moving $30 million in SOL.
- Wallet BnwZvG sold $9.47 million.
- Wallet 8rWuQ5 transferred $3.53 million.
- Wallet 2UhUo1 sent $3 million.
These transfers typically precede increased selling pressure on exchanges, and the market responded accordingly. Solana dropped over 3% in 24 hours, amplifying fears of a broader correction.
Tariff Announcements Add to the Pressure
The timing couldn’t be worse for crypto markets already grappling with external economic pressures. U.S. President Donald Trump’s announcement of new reciprocal tariffs has thrown global financial markets into flux — and the crypto sector is no exception.
Bitcoin has seen high volatility in response to tariff news, and analysts now believe this uncertainty is bleeding into altcoins like Solana. With BTC’s movements closely mirroring stock indices, many fear further volatility in the altcoin market as economic concerns persist.
Optimism Amid the Bearish Sentiment?
Despite bearish technicals, not all voices are pessimistic. Crypto analyst Brandon Hong took to X (formerly Twitter) with a bullish call, predicting:
“SOL is about to have its biggest breakout ever. Buy now or regret later.”
Hong’s prediction centers around Solana potentially breaking out of a 400-day consolidation zone, which could signal a major trend reversal if momentum builds.
Long-Term Decline Sparks Concern
However, the 30-day performance for SOL reveals a more grim picture — with the token down 15% over the past month. These sustained losses align with a broader market downturn affecting most major cryptocurrencies.
As macroeconomic tensions continue to develop and whales offload significant holdings, traders are treading carefully. Some are watching for technical support levels, while others anticipate a possible rebound if the market stabilizes.
What’s Next for SOL?
Solana remains a key token to watch amid rising uncertainty. The price action over the next few weeks could define whether the token will continue to slide or if bullish forecasts like Hong’s hold water.
For now, investor sentiment is mixed, and with external factors like U.S. tariffs in play, the coming days could be crucial for SOL and the broader altcoin market.
