Solana Price Prediction as SOL Pumps Up 10% on Spot Bitcoin ETF and FTX Estate Staking Optimism
Solana (SOL) is the best-performing cryptocurrency in the top 20 by market capitalization in the past 24 hours, as per CoinGecko, with the SOL price having pumped a massive near 10% on the day.
SOL was last changing hands to the north of the $24 level, having begun the day under $22, aided by a decent pump in Bitcoin (BTC) on spot ETF optimism, as well as aided by reports that the estate belonging to bankrupt crypto exchange FTX has just staked $121 million worth of SOL tokens, easing concerns about near-term token sales.
The FTX estate just staked 5.5 million (worth $122 million) of SOL tokens, reported a pseudonymous crypto analyst on Friday.
Solana offers attractive annual staking yields of around 7%, around double that which investors can receive by staking Ether (ETH).
The FTX estate owns over $1 billion in SOL tokens, though most of these tokens are vested over the coming 5 years, meaning near-term mass sales that could cause of SOL price crash are impossible.
The FTX estate recently got permission to begin selling its crypto holdings in order to begin paying back its creditors (i.e. former users), but said it would strategically sell these holdings with notifying the public beforehand.
The fact that the estate just staked $121 million tokens suggests they don’t plan to sell them anytime soon, explaining the cryptocurrency’s outperformance on Monday.
Solana’s technical outlook could be on the verge of turning substantially for the better.
The cryptocurrency’s latest pump has sent it rallying substantially to the north of its major moving averages.
If SOL can break to the north of its August/September highs and this would open the door to a rally back towards yearly highs at $32, meaning potential near-term gains of
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