{"id":4372,"date":"2024-12-31T22:45:53","date_gmt":"2024-12-31T22:45:53","guid":{"rendered":"https:\/\/solanacrypto.news\/2024\/12\/31\/solana-price-fizzles-out-as-whales-dump-sol-for-hype\/"},"modified":"2024-12-31T22:45:53","modified_gmt":"2024-12-31T22:45:53","slug":"solana-price-fizzles-out-as-whales-dump-sol-for-hype","status":"publish","type":"post","link":"https:\/\/solanacrypto.news\/2024\/12\/31\/solana-price-fizzles-out-as-whales-dump-sol-for-hype\/","title":{"rendered":"Solana Price Fizzles Out As Whales Dump SOL For HYPE"},"content":{"rendered":"
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Solana price has erased some of the gains made on Christmas Eve as most cryptocurrencies rallied. This sell-off has led to an increase in whale activity, with some notable ones swapping the SOL token for Hyperliquid\u2019s HYPE. So, does the Solana coin have more gains to run or is the rally over?<\/span><\/p>\n

Solana Price Downturn: What\u2019s Behind the Decline?<\/strong><\/h2>\n

Solana\u2019s ongoing decline is mostly because of the weak sentiment in the crypto industry. <\/span>Bitcoin price has retreated<\/span><\/a> from near $100,000 this week to $96,000, while the popular watched crypto fear and greed index moved from extreme greed a few weeks ago to neutral. Cryptocurrencies often have a close correlation with each other.<\/span><\/p>\n

Solana\u2019s decline could be because of the ongoing profit-taking among investors after the coin more than doubled earlier this year. It is common for investors to sell highly profitable assets as the end of the year nears. As we will show below, there are some signs that some whales have started to dump SOL and moved to other cryptocurrencies.<\/span><\/p>\n

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Solana and other cryptocurrencies have also retreated after the <\/span>Federal Reserve slashed interest rates<\/span><\/a> by 0.25% in its December meeting. While this cut was good, the bank hinted that it would cut rates two times next year. That hawkish tone has led to higher bond yields, which historically affects risky assets.<\/span><\/p>\n

More data shows that Solana\u2019s DeFi TVL has been in a strong downward trend, which may be affecting its price. It dropped from $20 billion on December 20 to $5.7 billion on December 26.<\/span><\/p>\n

\"Solana