FTX Unstakes $20M in Solana (SOL), More Set to Unlock in May

Solana investors are bracing for potential volatility after defunct crypto exchange FTX unstaked over 186,000 SOL tokens—worth $20.84 million—this week.

The report by Arkham Intelligence has revealed that defunct cryptocurrency exchange FTX unstaked over 186,000 Solana (SOL) tokens this week, sparking fears of a potential sell-off.

The move comes as crypto prices remain volatile, with Bitcoin struggling to break above the $40,000 mark and Ethereum facing pressure at the $2,000 level.

This batch of SOL tokens, which was unstaked from FTX and Alameda wallets, is valued at approximately $21.56 million.

However, another 73,700 SOL tokens, worth roughly $8.6 million, are set to unlock on May 1.

This gradual reintroduction of supply could exert further downward pressure on Solana, potentially pushing the asset back to the $110 range, where it traded in early 2023.

According to Arkham, FTX and Alameda wallets still hold significant SOL reserves. While the batches unstaked this week haven’t yet been sold on the open market, any large-scale liquidations could have a destabilizing effect on the asset, especially during periods of low liquidity.

Despite the recent activity, the majority of FTX’s SOL holdings remain staked. At present, about 5.36 million tokens, valued at over $619 million, are still locked and will continue to unlock in tranches throughout the year.

As FTX’s next moves are closely monitored by market participants, the looming supply overhang continues to factor into the technical outlook for Solana.

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