Solana Faces Steep Challenges Amid Massive Unstaking and Price Drop

Solana (SOL) has shown resilience despite significant unstaking by FTX and Alameda Research, with approximately 3.03 million SOL ($432.5 million) being unstaked recently. This move has led to substantial sell-side pressure, resulting in a 20% drop in price. Recent figures show over 83,700 SOL liquidated within two days, while large holders have contributed to liquidity issues by placing large amounts for sale. Following a rebound to $148 after a previous decline to $139.21, Solana's trading volume has dropped by 21%, raising concerns about weak buying momentum. Furthermore, the Total Value Locked (TVL) in Solana has decreased by nearly 38% since January, posing long-term challenges unless market sentiment improves. Analysts indicate that Solana's price is under pressure, with a potential decline below $130 expected in the coming months unless a significant recovery occurs.