Solana ($SOL ) Faces #FTX Sell-Off Shock—Will Panic Crash the Price or Spark a Major Rebound?

The highly anticipated FTX and Alameda Research creditor pay-off is set to begin Tomorrow, Feb 19th with small claims of $50000 and less getting the first priority.

WHAT YOU NEED TO KNOW

1. Investors must have filed the requisite Claim and Tax papers to be eligible.

2. The deadline to file claims elapsed on Jan 20th.

3. The total repayment is set to hit $20b.

4, Claims are pegged to asset value as of November 2022-when FTX filed for bankruptcy.

WILL THE PAY-OFF IMPACT SOL PRICE ACTION?

Of course! SOL is already suffering a significant downward spiral in anticipation of the impending massive unlock. Key support levels are holding the $134-$135 ground and RSI stands at 48.28 suggesting a rather stale market outlook. With the entire crypto market in limbo, the subsequent selling pressure could see $SOL go down even further.

WHAT SHOULD YOU DO?

Traders may seize this opportunity to short $SOL as prices are expected to go even lower. However, this may not last for long as market makers and Instituonal investors step in to absorb the Sell off at the low prices. This could potentially result in a sudden bear trap as Shorts are forced to liquidate their positions.

It is important to note that Sol has attracted huge attention as investors eye a potential ETF listing in the United States. Sol is showing an overall bullish setup, but a dire bearish situation in the immediate short term.

DYOR. NFA.