Solana Price At Risk As Pump Fun Offloads $28M SOL

Despite the global crypto market’s recent rebound to reach $3.16 trillion, the Solana price is facing significant pressure. Solana’s current struggle is primarily triggered by pump.fun’s massive SOL sell-off. In a recent revelation, Lookonchain unveiled Pump.fun’s significant transfer of 148.7K SOL to Kraken.

Pump.fun Moves $28M SOL: Solana Price in Trouble

According to an X post shared by the on-chain analytics platform Lookonchain, Pump.fun, Solana’s memecoin launchpad, executed a transfer of a staggering 148,759 SOL, worth approximately $28.22 million, to Kraken. This massive sell-off has fueled speculations of Solana price’s potential bearish trend.

To date, Pump.fun has made a substantial transfer of 2,280,377 SOL, valued at approximately $462 million, to Kraken. The platform has sold 264,373 SOL for 41.64 million USDC. The Pump.fun address still maintains a notable balance of 16,877 SOL, suggesting a deliberate reserve after the transaction.

Notably, Pump.fun’s massive SOL sell-off has created a buzz in the market, sparking speculations of Solana price’s imminent downtrend. Just after the transfer, SOL experienced a marginal decline of 1.2%.

Is Solana Slipping to New Lows?

Currently, Solana is trading at $191.17, with a slight surge of 0.20% over the last 24 hours. On a monthly and weekly basis, the Solana price has witnessed slight upticks of 2.68 and 0.55%, respectively.

Meanwhile, Binance Coin (BNB) has surpassed Solana in market capitalization, reaching $96.15 billion compared to Solana’s $93.16 billion, sparking concern. This anxiety is widely demonstrated in the changing market sentiment as Solana’s 24-hour trading volume is down by 11.51%, currently at $3.39 billion.

Significantly, the Solana price has dropped below the volume-weighted average price (VWAP) support level, which has been in place since the September low. Though the level historically provides a buying opportunity, repeated tests may increase the likelihood of a breakdown.

Fear Grips Market: Can Solana Price Avoid $120 Drop?

It is noteworthy that the Solana price has been consolidating for over 83 days, trading within established boundaries. According to Crypto School, the HTF support level is clearly identified at $176. Adding to this point, it is understood that a break below $165 could pull the price down to severe lows.

DeepSeek’s latest predictions have added fuel to concerns about Solana’s potential bear market. According to their forecast, Solana’s price may plummet to $120 in Q1 2025. However, DeepSeek also suggests an alternative scenario, where the token could surge to $250 during the same period.

Will Solana Rebound? Analysts Weigh In

Despite speculations of a bearish trend, analysts remain optimistic about a potential bullish reversal. Rose Premium Signals, a crypto voice on X, provides three bullish targets for Solana price, including $296.38, $339.55, and $384.56. At the same time, Kyren presents a more ambitious target of $500 for SOL, predicting that the token will hit the level in 2025.

A positive outlook on Solana’s future trend could be primarily attributed to Coinbase Derivatives’ potential launch of its SOL Futures contract product.

Amidst conflicting predictions of bullish and bearish trends, the market’s future remains uncertain. So, traders are advised to exercise caution, conduct thorough research, and stay up-to-date before making investment decisions.