Solana holders’ withdrawal from centralized exchanges signals their belief that the coin will reach new highs in the coming days.
Data from SolanaFM has shown that users withdrew about $200 million from exchanges to wallets on the Solana network in the past week.
Notably, leading crypto exchange Binance spearheaded the outflow, with a staggering $182 million transferred from the exchange to cold wallets, according to on-chain data from DefiLlama.
Interestingly, while exchanges like Bybit and Bitfinex experienced net outflows, OKX recorded a net inflow. Bybit and Bitfinex users withdrew $19.1 million and $1.035 million from the exchange, while OKX Solana holders moved $9.23 million into the derivative platform.
Notably, all exchanges saw their highest outflow day on March 20, when the crypto market recovered from a dip that saw Bitcoin trade below $61,300.
Holders Accumulate
The increased accumulation of Solana was evident in its price, as the asset topped $200 in the past week. Evidently, Solana’s decentralized exchange (DEX) volume reached a new monthly all-time high of $50 billion, growing over 126% from $28.62 million the previous month.
Solana has continued its fast-paced price increment as the broader market continues its uptrend. Year-to-date, Solana has increased over 800%, soaring from under $20 on March 25, 2023.
Solana’s major price catalyst has been an insane memecoin frenzy on the network. This madness has consistently seen the network flip Ethereum in daily and weekly trading volume in recent times. Memecoins like Dogwifhat (WIF), BONK, and Book of Meme (BOME) on the Solana network have attracted investors and grown astronomically to global relevance in the crypto sector.
An increase in accumulation always signals bullish sentiments about the coin. Hence, on-chain activity suggests that investors believe that SOL’s price will reach new highs in the coming days. At the current price of $193, SOL is just $58 away from its all-time high of $251, last seen in November 2021.
