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Solana (SOL) is once again drawing significant market attention after an eye-catching transfer of 3.5 million SOL—worth nearly $487 million—between unidentified wallets. Unlike typical exchange-related flows, this transfer bypassed centralized exchanges, sparking speculation of strategic accumulation rather than sell-offs.
At the same time, liquidations data has revealed a notable imbalance: short liquidations soared to $339.5K, far exceeding long liquidations of $70.9K. This dynamic suggests that short sellers may now be more exposed as potential institutional buying starts to build beneath the surface.
Solana’s Ecosystem Strengthens in 2025
Solana’s latest network health metrics paint a bullish backdrop for potential accumulation. The blockchain has recorded 16 consecutive months of uninterrupted uptime—even during January’s massive transaction surge of over 200 million daily transactions and a decentralized exchange (DEX) volume topping $39 billion per day.
Recent infrastructure enhancements—such as the Frankendancer upgrade, Pinocchio improvements, and a new Jito-based scheduler—have boosted fee throughput by 80%, further cementing Solana’s scalability and efficiency. Validator participation is also at an all-time high, with 100% of priority fees now going directly to stakers, enhancing network incentives.
Whale Capital Rotation into SOL?
On-chain data suggests that whales may be actively rotating stablecoins back into SOL. Between mid-May and early June, whales holding over $5 million in stablecoins increased their share of total stablecoin supply to above 56%, before tapering slightly to 53.27%. This shift coincides with the large whale transfer and the recent short squeeze—both signals that support the view of growing institutional interest in Solana.
While this doesn’t yet confirm a sustained uptrend, it does suggest that accumulation could be outweighing selling pressure, with capital redeployment occurring in a controlled, strategic manner.
Market Sentiment: Cautious but Improving
Despite these bullish undercurrents, broader trader sentiment remains mixed. The OI-Weighted Funding Rate remains flat at –0.0003%, indicating that leverage traders are not yet fully embracing a bullish stance. This hesitation could dampen short-term price action unless sentiment among derivatives traders shifts decisively.
Meanwhile, Solana’s social dominance has rebounded sharply to 4.34%, after dipping in mid-June. The renewed online buzz is largely driven by discussions around whale movements, robust network performance, and positive technical indicators.
While social sentiment alone won’t drive price rallies, when combined with strengthening fundamentals and potential accumulation, it can act as a powerful tailwind.
Also Read: Solana Eyes $160 Breakout as Nasdaq Filing Sparks Institutional Interest
With whale redeployment underway, solid network upgrades, and rising social engagement, Solana appears to be entering an early accumulation-driven recovery phase.
If SOL manages to break above $150—or firmly hold support at $136—this could mark the beginning of a more sustained rally in the coming days.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
