Solana Price at Risk as 600K SOL Flood Exchanges, Analyst Warns of Drop to $50

Solana (SOL) faces potential downside pressure after a massive influx of tokens to cryptocurrency exchanges, according to on-chain data. Popular analyst Ali Martinez highlighted the significant spike in SOL exchange inflows, which rose from about 27 million to over 27.6 million tokens—a net addition of 600,000 coins.

Citing data from Glassnode, Martinez noted that such large-scale transfers often signal that market participants are moving liquid supply out of private wallets, reflecting rising caution around current price levels. Similar historical patterns have preceded short-term drawdowns, as investors appear to be de-risking or hedging their positions.

“A localized pullback into this key zone [$50] would serve to fully absorb the short-term panic and clear the path for a healthy accumulation base before the next major expansion,” Martinez wrote on X, where he has over 165,000 followers.

While the $50 target has not been seen since late 2023, the analyst warned that the recent spot supply could trigger an immediate flush. Currently, SOL has reclaimed the $70 support level, rising over 4.5% in the past 24 hours. However, fellow analyst Crypto Tony cautioned that a break below $70 could send the asset back toward the $60 level, which it successfully defended during the early June market crash.

Another trader, Daan Crypto Trades, focused on SOL’s Bitcoin (BTC) pair, noting that SOL is “attempting a breakout from this falling wedge” against BTC. If successful, SOL could rise well above the current upper boundary of 0.0011 SAT after bouncing from the lower boundary at 0.001 SAT in early June.

The conflicting signals leave Solana’s near-term direction uncertain, with exchange inflows suggesting caution while price action attempts to stabilize. Investors will watch closely to see whether the $70 support holds or if selling pressure drives SOL toward lower targets.

Source: https://cryptopotato.com/600000-sol-moved-to-exchanges-is-a-drop-to-50-next/