On-chain data shows that a Solana (SOL) whale made a large deposit on Binance over the past day, which could be a sign that the price is negative.

There has been a huge transaction on the Solana network over the past day

According to data from crypto transaction tracker Whale Alert, a large movement has been spotted on the Solana blockchain over the past 24 hours.

The SOL transaction in question involved the movement of 184,241 tokens across the network, worth over $26 million at the time the transfer was processed.

Movements of this magnitude are usually associated with whales. They are gigantic creatures that are considered influential in the market precisely because of their ability to move large quantities.

So it’s worth keeping an eye on these kinds of movements. Even though they ultimately have no direct effect on the price of the cryptocurrency, they can still provide clues about the sentiment among these large investors.

To determine what the whale intended to do with this latest transfer from Solana, it is necessary to look at the address information.

Looks like this SOL transfer required a fee of just $0.3 to go through on the blockchain | Source: Whale Alert

As shown above, this Solana transaction went from an unknown wallet to an address tied to the cryptocurrency exchange Binance. Unknown wallets refer to addresses that are not affiliated with a known centralized platform and are therefore likely the investors’ personal wallets.

So it seems that the whale moved coins from their self-custodial wallets to Binance with this transaction. This type of transaction is called an exchange inflow.

Generally, investors make exchange inflows when they want to use one of the services that these platforms offer, which can include selling. As such, these transfers can prove to be bearish for the SOL price.

Since the size of the stock market inflow in question is significant, this could obviously have a visible effect on the Solana price, if the whale actually intends to sell with the move.

It now remains to be seen whether the cryptocurrency will experience a bearish effect from this transaction or not.

SOL price

The past 24 hours have been red for the cryptocurrency market and Solana was no exception. The chart below shows how the coin’s recent performance has looked.

The price of the asset appears to have gone down over the last few days | Source: SOLUSD on TradingView

Yesterday, Solana had risen significantly in value and reached the $152 mark, but it didn’t take long for the run to end. Since then, the coin has corrected by more than 5% and dropped to the $145 level.

In terms of weekly returns, SOL is currently at negative 8%, making it the worst performer among the top 20 cryptocurrencies by market cap. Polkadot (DOT) and XRP (XRP) are the only other coins that have delivered negative returns for this period.

Main image from Dall-E, whale-alert.io, chart from TradingView.com