Key Highlights:
- Over $200 million in SOL tokens flowed into centralized exchanges last week, marking the highest inflow since March.
- The surge in March coincided with a price rally, which peaked near $200.
- Current options market activity indicates a lack of bullish sentiment.
A previous market trend observed in March 2024 has resurfaced, casting doubt on the optimistic outlook for SOL tokens.
Last week, exchanges recorded a net inflow of $227.21 million of SOL, supporting the token that powers Solana's smart contract blockchain, according to Coinglass. This influx is the largest observed since mid-March when inflows exceeded $300 million. At that time, SOL experienced a price rally near $200, followed by a prolonged trading range between $120 and $200.
The movement of coins to exchanges suggests that holders might be preparing to either cash out or leverage their holdings in derivatives and decentralized finance (DeFi). This recent influx reintroduces uncertainty regarding the previously positive technical indicators that hinted at a price recovery towards the November high of over $260.
Furthermore, analysis from Amberdata indicates that traders are predominantly selling call options for SOL, reflecting a cautious market sentiment.
SOL worth millions move to centralized exchanges. (inkflo/Pixabay)
SOL's net inflow/outflow to centralized exchanges (Coinglass)
