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Is FTX Manipulating Solana Price After Recent Bull Rally?

2 mins
Updated by Geraint Price
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In Brief

  • FTX and Alameda Research wallets have seen significant movement of funds, raising suspicion of Solana price manipulation.
  • Despite the low trading volume, Solana's (SOL) price has skyrocketed by over 80%, outperforming the 25% Bitcoin (BTC) rally in October.
  • Blockchain analytic platform Nansen reports $110 million worth of SOL tokens have been moved to centralized exchanges.
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The price of Solana (SOL) has been up by over 80% in the past 30 days. Meanwhile, there has been a significant movement of funds in the FTX and Alameda research wallets. Has the price pumped to give a favorable exit to FTX?

It is a well-known fact that FTX and its sister trading company, Alameda Research, had significant exposure to Solana. As the company is undergoing bankruptcy, it needs to liquidate the assets to make the depositors whole.

Solana Outperforms Market While Spot Trading Volume Is at Yearly Lows

According to Bloomberg, the market depth and the spot trading crypto volume are at the lowest point in 2023. 

Read more: Order Book: What Is It and How To Use It in Crypto Trading?

CEX spot trading volume.
CEX spot trading volume. Source: Bloomberg

Despite the lower volume, Bitcoin rallied by over 25% in October. And Solana skyrocketed by over 80%, outperforming the flagship crypto, Bitcoin. On Wednesday, it recorded a new yearly high of $46, pumping over 25% in 24 hours.

Solana (SOL) price,
Solana (SOL) price. Source: BeInCrypto

FTX is Moving Solana: Is it a Pump and Dump?

Blockchain analytic platform Nansen told BeInCrypto that FTX and Alameda labeled wallets have been moving funds to Coinbase and other centralized exchanges. In total, there have been movements of $110 million worth of SOL tokens.

Due to the rally in Solana price, the community suspects a pump-and-dump scenario. As FTX has been selling SOL, the on-chain analysis platform Lookonchain posted on X (Twitter):

“Maybe someone is jacking up the price and selling?”

However, Nansen analysts declined to comment on whether there is a possibility of manipulation in SOL price, saying nothing is obvious or wrong with the transactions.

On the bright side, there has been a growth in on-chain metrics, along with the growth in price. For instance, the Solana revenue increased 22% in the past 30 days. Token Terminal defines revenue as:

“Share of transaction fees that are burned (accrue to SOL holders).”

Read more: FTX Collapse Explained: How Sam Bankman-Fried’s Empire Fell

Solana daily revenue. Solana, FTX
Solana’s daily revenue in the past 90 days. Source: Token Terminal

Do you have anything to say about FTX’s Solana transactions or anything else? Write to us or join the discussion on our Telegram channel. You can also catch us on TikTok, Facebook, or X (Twitter).

For BeInCrypto’s latest Bitcoin (BTC) analysis, click here.

Top crypto platforms in the US | December 2023


In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content.

Harsh Notariya
Harsh started investing in crypto during the 2021 bull market. He took the opportunity of the market crash in May to learn more about Bitcoin and blockchain technology. Since then, he has helped metaverse projects build an engaging community and educate them on Web3. He has also helped Web3 creators write educational blogs around crypto.