On April 4, blockchain analytics platform Lookonchain reported a significant selloff of Solana (SOL) tokens, noting that many whales unstaked and sold off their holdings. The report highlighted four transactions exceeding $3 million, with the largest single transaction involving 258,646 SOL, valued at approximately $30 million.
This mass selloff seems to be associated with the bursting of the meme coin bubble, which has resulted in a staggering 60% drop in SOL’s price over the past two months. As Lookonchain highlighted, the movement of these large amounts of SOL has sent ripples throughout the market, causing concern among investors.
Many whales unstaked and dumped $SOL today!
HUJBzd dumped 258,646 $SOL($30.3M).
BnwZvG dumped 80,000 $SOL($9.47M).
8rWuQ5 dumped 30,000 $SOL($3.53M).
2UhUo1 dumped 25,501 $SOL($3M).
Address:https://t.co/mCaB45W6pVhttps://t.co/wjhEwyZgFHhttps://t.co/Waqe4cxvbP… pic.twitter.com/kc1Q5GEKIX
— Lookonchain (@lookonchain) April 4, 2025
Additionally, on the same day, a substantial $200 million worth of SOL was unlocked. Arkham Intelligence noted that this event represents the largest single-day unlock of staked SOL expected until 2028. According to reports, 425,266 SOL, equivalent to $50 million, was unlocked, alongside 284,147 SOL worth about $33 million that was transferred to major exchanges such as Binance, Kraken, and Coinbase.
Token unlocks typically increase market supply and can lead to bearish sentiment in the short term. The latest major unlock occurred in March when 11.2 million SOL tokens, valued at $1.3 billion, were released from the FTX bankruptcy estate.
$200M OF SOL UNLOCKING TOMORROW
Tomorrow (4th April) marks the largest single-day unlock of staked SOL until 2028.
These 4 accounts staked a total of $37.7M of SOL in April 2021, and are up 5.5x at current prices. pic.twitter.com/qvKFWxygh9
— Arkham (@arkham) April 3, 2025
The impact of these unlocks on the SOL market has been significant. The price of SOL experienced a decline of over 4% on the very day of the announcement, falling to an intraday low of $112 before somewhat recovering to approximately $118 at the time of writing. Over the week, SOL has seen a sharper decline of more than 16%, starkly contrasting with the broader cryptocurrency market, which has only dipped by 6.5%.
The recent downturn in SOL’s price signals a significant shift, particularly as activity on the Solana blockchain has diminished due to the collapse of the meme coin market, which was previously a driving force for the ecosystem’s revenue. Consequently, SOL’s value has plummeted to levels unseen in over a year.
The topic surrounding Solana’s instability is reflective of broader trends in the cryptocurrency landscape, highlighting the volatility and risks associated with substantial token unlocks. As we continue to observe the market’s reaction to these developments, investors should remain vigilant and informed.
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