FTX’s $5 Billion Plan Triggers Solana Price Drop: Uncertainty and Volatility Persist

FTX’s recent announcement of a $5 billion asset distribution plan has created significant market uncertainty, leading to a notable price drop for the altcoin Solana (SOL). On May 16th, SOL experienced a 4% decrease in value, dropping below $170. Analysts attribute this decline to FTX’s substantial holdings of SOL and the subsequent unlocking of these tokens on exchanges. This combination is fueling heightened selling pressure and exacerbating market volatility.