 moves from Kraken, fueling speculation. Meanwhile, Solana has reached 2.07B addresses, yet its price lags.){kind=link}
Key Insights:
- 1M SOL ($147M) leaves Kraken—bullish accumulation or sell-off ahead?
- Solana reaches 2.07B addresses, but price struggles to follow growth
- Retail bullish, smart money bearish—who will dictate SOL’s next move?
Solana’s price sits at $146, lagging behind network growth despite reaching 2.07B addresses. A 1M SOL ($147M) transfer from Kraken raises speculation about potential accumulation or selling pressure. Meanwhile, sentiment remains split between bullish retail traders and cautious smart money.
Whale Transfers 1M SOL ($146.9M) from Kraken
A massive transaction of 1,000,000 SOL worth $146,959,462 moved from Kraken to an unknown wallet on March 7, 2025, has attracted crypto community interest. Big transfers in crypto markets affect market sentiment as traders wonder if the movement indicates buying pressure or a potential selling wave.
Solana’s price has already dropped 53% from its January 2025 high of $296, erasing all the post election gains. If the SOL tokens are transferred to another exchange for selling, it could add downward pressure on the price.
There are different possibilities, including liquidity management, DeFi deployment, or regulatory-related fund movement. But often a shift of assets between wallets signify long-term holding or investment in decentralized finance projects.
The ongoing DeFi space integration and adoption of Solana, moreover, creates potential accumulation opportunities. But the market stability for short-term periods might be affected when substantial SOL tokens from transfers get sold to the market.
Furthermore, SOL’s price movement continues after Kraken received regulatory relief as the SEC dismissed its lawsuit against the exchange on March 3, 2025. The regulatory environment of the United States appears to be becoming more lenient based on this recent development.
Solana Hits 2.07 Billion Addresses—Will Price Follow Network Growth?
According to data from glassnode, the Solana network reached 2.07 billion addresses on March 5, 2025, as DeFi and NFT usage increased. This is as a result of growing user adoption which has led to a rapid increase in network addresses, demonstrating that the Solana ecosystem is experiencing accelerated user participation.
However, SOL is trading at $146.52, which reflects a dip from late February to below $130, suggesting price lags behind this expansion. Network size by itself does not drive price increases because speculative demand continues to be the primary market force at present.
Market conditions create a paradox for traders because increased addresses indicate utility but fail to boost prices. The price of SOL could rise if transaction volume increases and capital enters the market, which would synchronize SOL’s price with its operational activity.
The milestone remains stagnant because of the lack of a price boost, while short-term price movements depend on market-wide sentiment. The network’s upward trajectory gives reason for optimism, but its slow price movement creates an unproven connection between these two factors.
Solana Sentiment Split Who Will Win?
The sentiment analysis of Solana demonstrates a clear separation between retail investors and professional traders, who are known as “smart money.”
General retail traders maintain a positive outlook on Solana price movements according to crowd sentiment metrics, which currently stand at 0.94. Small investors believe Solana will bounce back from its recent price drops, so they expect an upward price movement.
Institutional investors alongside professional traders demonstrate a more reserved approach because smart money sentiment currently sits at -0.06, indicating a bearish perspective.
Negative smart money sentiment indicates that professional investors are taking steps to decrease their holdings, protect their positions, or prepare for additional market declines.
Conversely, the market trends historically follow institutional trader sentiment, which indicates potential volatility when their sentiment stays negative.
What do the Indicators Say?
The Solana price maintains its position at $146.33 while trading within the daily range of $130.5 to $1501. The $130.50 support zone is critical because previous market buyers entered at this level.
The price performance of Solana depends on its ability to stay above this support level because success at this point could trigger buying pressure yet failure below it could lead to additional price drops.
Meanwhile, the technical indicators for Solana produce conflicting signals about its upcoming price direction. The Ichimoku Cloud system shows bearish resistance points that exist above current market prices.
While, a price rise above $152.68 would indicate a trend change as resistance points exist at $159.98, $167.28, and $180.17. Also, the Awesome Oscillator (AO) stands at -27.85 to indicate ongoing negative momentum but the Stochastic RSI at 38.38 shows signs of buyer return from oversold conditions.
The price of Solana could rise toward higher resistance areas if it maintains its position above support. However, the price will likely continue to drop if the $130.50 support level gives way.
Disclaimer
In this article, the views and opinions stated by the author or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
