Trending This Week: Solana

Solana’s native token, SOL, experienced a sharp decline last week, falling roughly 17% from February 14 to 18 (from $204 to about $164, $169) and ultimately dropping over 25% by February 19. This downturn was further compounded by broader market declines, reduced DApp activity, and the looming pressure of a $1.8 billion token unlock on March 1, all of which have rattled investor sentiment.

Source: https://altfins.com/

The price drop is closely tied to the fallout from the $LIBRA scandal. On February 14, Argentine President Javier Milei promoted $LIBRA, a Solana, based memecoin tied to the “Viva la Libertad Project”, which briefly drove its market cap above $4.5 billion before it crashed by up to 95%. Blockchain analyses from Bubblemaps and Arkham Intelligence revealed that 83% of $LIBRA’s supply was concentrated in just eight wallets, with insiders offloading massive amounts.

Source: https://dexscreener.com/

In a Coffeezilla interview, key figure Hayden Davis admitted to front, running the token, netting insiders roughly $100 million. Dubbed “Libragate,” the scandal has led to over 100 fraud complaints, political backlash, and a criminal investigation, severely undermining trust in Solana’s memecoin ecosystem.

Adding to the disillusionment, many retail investors now feel that the system is rigged against them. The rampant insider trading and strategic sell, offs by well, connected groups, often referred to as cabals, are seen as a deliberate extraction of value at the expense of everyday traders. This deep, seated mistrust is particularly damaging for Solana, whose memecoin ecosystem has long been a key draw for retail participation. As retail confidence erodes, the very foundation that once fueled Solana’s explosive growth is now at risk.

Bitcoin Market Analysis

Over the past week, Bitcoin traded within a relatively tight range, fluctuating between approximately $92K and $106K for a couple of weeks now, and most recently closed near $97,256 as of February 20, 2025. Although it reached a new all-time high of $108,309, it encountered strong resistance at that level and subsequently pulled back below the $100K barrier. This modest weekly decline of roughly 1.2% appears to be influenced by broader macroeconomic concerns, such as persistent inflation and expectations of prolonged high interest rates, even as solid institutional support has helped stabilize the price around the $90K level.

Source: https://altfins.com/

Complementing this price action, chain metrics continue to underscore Bitcoin’s robust fundamentals. Daily transactions surged to 422,709 on February 18, a 26.76% increase from the previous day, while active addresses grew by 10% over the week, surpassing 1.2 million. Institutional confidence is evident as well, with companies like MicroStrategy maintaining significant holdings, and a concurrent rise in retail demand, particularly among transactions valued under $10K, signals that individual investors are increasingly entering the market, often marking the beginning of an accumulation phase.

Source: https://cryptoquant.com/

This growing participation from both retail and institutional investors aligns with the current technical setup, where Bitcoin is trading in a neutral sideways channel bounded by support at $90K and resistance at $108K. Swing traders can look to buy near the support and sell near the resistance, with a suggested stop, loss at $88K to manage risk, while trend traders may prefer to await a decisive breakout. A sustained move above $108K could pave the way for further gains toward $120K. Although technical indicators currently reflect bearish momentum, with the MACD histogram showing early signs of a potential reversal and the RSI remaining neutral, concrete confirmation of these shifts is pending the latest data.

Source: https://cryptoquant.co/ @Cryptoavails

Adding another layer to this analysis, recent data indicates that Bitcoin reserves on spot exchanges have fallen to approximately 2.5 million BTC, their lowest level since 2022. This significant reduction suggests that investors are increasingly moving BTC to cold storage, thereby reducing the circulating supply available for trading. Such a trend not only reinforces a long-term holding mindset but also raises the possibility of a supply shock, if demand holds steady or increases, the diminished supply could further propel prices upward. Historically, similar declines in exchange reserves have often been followed by notable price surges.

Overall, the interplay of stable technical support, robust on, chain activity, growing retail participation, and tightening available supply paints a bullish long, term picture for Bitcoin. These factors collectively suggest that the current market environment could be an opportune time for accumulation, with a confirmed breakout above $108K potentially triggering the next significant move toward $120K, all while maintaining essential support near $90K.

Meanwhile, PlanB reveals that he’s moved his Bitcoin into ETFs for convenience and peace of mind, acknowledging the “not your keys, not your coins” trade, off. This indicates a shift away from strict Bitcoin maximalism, highlighting the tension between self, custody ideology and more traditional investment vehicles.

This Week’s Headlines

Mark Your Calendars

Cryptocurrency Events

  • February 18, 2025: FTX Repayments Begin: The FTX exchange initiates its repayment process to creditors following its 2022 collapse. Initial distributions may already be underway, with approximately $7 billion in cash potentially re, entering the market, impacting liquidity and sentiment for Bitcoin ($BTC) and other major tokens.
  • February 23, March 2, 2025: ETHDenver 2025: One of the largest Ethereum, focused events, ETHDenver kicks off in Denver, Colorado. This week, a long festival brings together developers, investors, and enthusiasts for hackathons, workshops, and networking, with key announcements and project launches expected around Ethereum ($ETH) and Web3 innovations.
  • February 27, 2025: SONIC Mainnet Launch: The SONIC network is set to launch its mainnet, marking a critical milestone that could attract investor and developer attention, potentially spurring ecosystem growth.

Corporate Events

  • February 26, 2025: NVIDIA Earnings Report: NVIDIA, a major player in GPU manufacturing vital for crypto mining and AI applications, releases its earnings report. The outcome may sway market sentiment for mining, related tokens and newer altcoins tied to computational networks.

Token Unlocks (Above $10M)

February 20, 2025:

  • $MELANIA: 40.83% of circulating supply unlocking
  • $MRS: $87.50M unlocking (11.87% of circulating supply)
  • $IMX: $18.33M unlocking (1.41% of circulating supply)

February 23, 2025:

  • $MURA: $45.60M unlocking (2.00% of circulating supply)

March 2, 2025:

  • $FET: $191.87M unlocking (<0.01% of circulating supply)
  • $SOL: $2.16B unlocking