Investors Wary as Solana Releases $2.03 Billion in Locked SOL Tokens
The news of Solana (SOL) token unlock event slated for March 2025 has taken the industry by storm. Both investors and traders are wondering how this event announcement will affect the SOL market price.
Typically, when tokens are unlocked, vesting schemes are a gradual sharing of tokens to the project teams or investors.
However, this Solana unlock happened during the time FTX Estate liquidated assets to pay the creditors that have been waiting since its bankruptcy, causing the investors jitters.
FTX Liquidates Assets, Unlocks 11.2M Solana Tokens Amid Bankruptcy Saga
On March 1, 2025, the crypto blockchain unlocked 11.2 million Solana (SOL) amounting to $2.03 billion.
The released tokens belonged to the firm FTX, which went bankrupt and was selling off all assets to repay the creditors.
However, unlock event caused another issue with increasing the number of tokens circulating in the market. There are over 509 million SOLs in circulation.
Also, now, the difference between Solana’s circulating supply and total supply is barely 2.4% because the total supply is at 509 million plus the recently released SOL.
Will this increase in SOL supply make the investors want to SELL more, or is there a way for the market to manage the excess supply?
What To Expect From this SOL Token Unlock Event?
Firstly, the objective was to raise enough funds to repay the creditors of FTX by releasing the SOL tokens.
This entails that the company will sell more of the 11.2 million SOL ‘directly’ to the market since they were liquidated assets.
This might also affect crypto-betting sites that use Solana. This is because they’ll experience volatility, reducing the value of their SOL holdings and leading to higher transaction costs.
Additionally, whenever a token is unlocked massively, the asset’s market value faces high volatility. As of March 1, Solana’s price fell hugely by 3.85%, causing the value to sit at $138.68.
SOL is trading at $138.51 on March 8, representing a dip in price by 4.48%. Also, indicators showing a bearish trend in the Solana futures markets suggest that investors may see more fall in SOL price if the pressure to sell continues to rise.
For Solana casino players, these unsteady SOL prices can make it very hard for Solana casino players to manage their money. It will also make it harder to be accurate when assessing their winnings or losses.
The Outlook: Will Solana Keep Falling or Rebound?
In the chart above, Solana (SOL) moves between the middle and lower Bollinger Bands. If it breaks above the middle band, this might show that investors have started buying more when the price is low.
Now, if it breaks below the lower band, it will prove with certainty that the SOL price will continue to fall until a change occurs.
Apart from the first indicator, another one called the Relative Strength Index (RSI) is making uncertain movement towards 38.58.
This figure sits between the oversold (below 30) and overbought (above 70) zones. It also indicates that more people are buying SOL as the price slumps.
Regardless, the long-term effect of the token release will depend on how the market buys the increased supply.
If Solana’s ecosystem remains attractive, making more developers and users join, the negative effect of unlocks may go unnoticeable. If this happens, the RSI could move to the neutral zone at 50 or beyond.
This could bubble the Solana gambling environment with activities, making it more stable and attractive to new entrants.
Since: March 11, 2025
