Solana (SOL) Price Plunged 13% as Wintermute Withdrew $40M in SOL From Binance Ahead of a $2B Token Unlock

The Solana price plunged over 13% in the last 24 hours to trade at $141.58 as of 9:53 p.m. EST as investors offload their holdings in the crypto on the market.

Investors are offloading their Solana (CRYPTO: SOL) holdings in the crypto market as the token’s price plunged over 13% in the last 24 hours to trade at $141.58 as of 9:53 p.m. EST.

The drop in the SOL price comes after market maker Wintermute withdrew $40 million in SOL from leading crypto exchange Binance ahead of a $2 billion token unlock, which is the largest in Solana’s history. This move has raised concerns over selling pressure as market sentiment worsens.

Solana Price Resting On Support

4-hour chart for SOL/USD (Source: GeckoTerminal)

Solana’s price is currently resting on a key support level at $140.05, as shown by GeckoTerminal. If the altcoin falls below this technical crutch in the coming hours, it could be at risk of plunging all the way down to $122.74 in the short term.

In a more bullish scenario, traders might identify SOL’s current price as a buy opportunity. This could lead to a rebound off of the $140.05 support and a potential test of the $161.98 mark, which was turned into resistance over the past 24 hours. A 4-hour candle close above $161.98 could then give the Solana price the foundation needed to rise to $185.06.

Technicals Suggest The Solana Price Will Keep Falling

From a technical standpoint, indicators on SOL’s 4-hour chart warn the crypto’s price might continue to drop in the next couple of hours. More specifically, the Moving Average Convergence Divergence (MACD) and the Relative Strength Index (RSI) are showing bearish signs.

Over the past 24 hours, RSI readings have plummeted along with the Solana price. This steep drop in the indicator’s values signals a strong decrease in buyer power and overwhelming seller strength. Now, the RSI is in deep oversold territory at around 16.

Although the low RSI reading could be seen as a buy signal, given that it suggests SOL’s upside potential is currently greater than its downside potential, the negative slope of the RSI line warns that sellers are still in control of the Solana price. It’s not uncommon for RSI values to remain low for sustained periods of time when a crypto is being dumped.

Meanwhile, momentum favors bears, as suggested by the MACD line’s positioning below the MACD Signal line. With the growing gap between the two technical indicators, it seems that sellers show no intention of easing their pressure on the Solana price either.

With the Solana price at the mercy of sellers and negative sentiment in the market, investors will likely turn to a new SOL layer-2 presale token called Solaxy (SOLX) to protect their capital. The new crypto is not yet exposed to broader market swings and popular YouTube channel 99Bitcoins, with over 725K subscribers, believes it could soar 100X after launch.

Taking Solana To The Next Level

Solana has become congested due to the hype around SOL-based meme coins soaring in the last few months. As the popularity of these tokens continues to surge, opportunistic developers looking to capitalize on the trend launch new meme coins on a daily basis. If something does not change soon, the Solana network stands the risk of suffering another outage.

Solaxy, with its native layer-2 sidechain and scaling technologies, will give the Solana network its biggest upgrade yet, and elevate its transaction processing capabilities to the next level. The project will run in parallel to the Solana mainnet and take over a bulk of the blockchain’s transactional workload.

Once launched, the Solaxy sidechain will process transactions off of the Solana blockchain, bundle them together, and then send the batches of transactions back to the layer-1 mainnet for final validation and record keeping. This approach to processing transactions has already been proven as a viable way to scale a network within the Ethereum ecosystem.

Solaxy will not only scale Solana’s transaction throughput, but will also expose the network to a larger portion of the Web3 community by bridging the Solana and Ethereum networks. In doing so, the project will create a super Web3 infrastructure that combines Ethereum’s thriving DeFi ecosystem with Solana’s high speeds and low fees.

In this new infrastructure, SOLX will be positioned as a primary, cost-efficient transaction layer between two of the most prominent blockchains in the crypto space.

Solaxy Presale Goes Parabolic

Solaxy has managed to raise over $23.4 million through its presale so far, signaling strong investor confidence in the project’s future.

Anyone that wants to get in on the ground stages of the project can do so by acquiring SOLX through the simple buy widget embedded on the project’s website. Selling for $0.0