During the recent rapid surge in Solana’s value, significant players appear to have been offloading their holdings.
The mega rally in Solana continues as the SOL price rallies another 18% moving closer to $100 earlier today. With this, the Solana price gains on the monthly chart have extended beyond 75% thereby unseating Binance’s native BNB Coin for the fourth spot.
Earlier today, the Solana market cap reached a high of $41.9 billion, while surpassing that of BNB. Just one day prior, on December 21, Solana exceeded XRP in market capitalization, with XRP trading at $0.62. This development follows SOL’s impressive performance, with a gain of over 30% in the past week, outpacing other major cryptocurrencies during the same period. Despite being hailed as an “ETH killer” by some supporters, Solana still has a considerable gap to bridge to reach Ethereum’s market cap of $269 billion.
Solana last held the fourth position in the cryptocurrency rankings in November 2021, as reported by CoinMarketCap. During that period, at the height of the bull market cycle, Solana boasted a market capitalization of $75 billion but remained in second place behind BNB, which had a market cap of $108 billion.
After hitting a high of $98.3 earlier today, the Solana price has retraced again. At press time, the SOL price is trading at $94 while losing up the fourth spot again to BNB. The technical details suggest the possibility of growing selling pressure on Solana.
Solana Bears Liquidated
Over the past 24 hours, Solana has witnessed the liquidation of approximately $12.64 million worth of short contracts, marking the highest single-day liquidation observed by traders since October of this year. The surge in liquidations aligns with the increasingly bullish sentiment as the year comes to a close.
Combining the recent $12 million liquidation with the $7.6 million from Wednesday, the total SOL liquidation over the past 48 hours amounts to $20 million. This trend suggests that those anticipating a price decline are currently experiencing significant losses.
A breakthrough above $100 could pave the way for further upward movement, with the possibility of reaching $113. However, if the attempt to breach $100 proves unsuccessful, Solana may experience minor corrections before the year concludes. In such a scenario, the altcoin could retreat to $84, and a failure to hold this level might negate the bullish outlook, leaving Solana susceptible to a decline to $71.
During the recent rapid surge in Solana’s value, significant players appear to have been offloading their holdings. Arthur Hayes, co-founder of the BitMEX crypto exchange, disclosed that he has been selling his SOL holdings and converting them into Ethereum (ETH).
Fam … I have a confession to make.
I received a msg from the Lord while meditating. He said dump that Sam coin POS, and profess your love for Archangel Vitalik.
So I dumped $SOL, and bot more $ETH.$ETH = $5,000
— Arthur Hayes (@CryptoHayes) December 22, 2023
In a lighthearted admission, Hayes claimed to have received a divine message instructing him to divest from SOL. Consequently, he decided to sell $SOL and acquire more of the widely popular cryptocurrency Ethereum. Although presented in a playful manner, the disclosure adds a whimsical element to the evolving narratives within the cryptocurrency community.
