Solana price dropped by 1.56% after the Pump Fun Fee Account sold 40,000 SOL. The sale occurred five hours ago, creating concern in the market and increasing attention to Solana’s price movements.

Sales and Impact of Pump Fun

Pump Fun, a Solana-based meme coin launch platform, has recently sold significant amounts of SOL. The recent sale of 40,000 SOL suggests that the platform is continuing this selling trend and could put pressure on the Solana market. The amount of SOL sold by Pump Fun to date has exceeded 500,000. The platform’s continued liquidation of SOL holdings raises concerns about whether it is causing price pressure in the short term.

New Developments: Pump Advanced

Pump Fun has announced its new trading terminal called Pump Advanced on Twitter Spaces. Aiming to compete with platforms like Photon and Bull X, this new tool plans to attract traders by offering the opportunity to trade with 0% commission for the first month. The platform’s co-founder Sapijiju stated that they are considering a token launch in the future and that the airdrop will be more generous than competitors.

Solana Supply Increase and Unlocking

This week, Solana will unlock 524,030 SOL tokens. This will be the second major supply increase after the $81 million SOL that was released in early October. At the time, the SOL price fell by 6%, but quickly recovered. Now the market is waiting to see if the new supply will put pressure on the price. Analysts believe that there could be pressure in the short term, but prices could recover in a few weeks thanks to trader demand.

In the past, Solana has been able to withstand supply increases in the market. However, these consecutive unlocks make it difficult to predict short-term price movements. Despite Pump Fun’s SOL sell-offs and unlocks, experts remain confident in Solana’s future potential.

Conclusion and Long-Term Prospects

Pump Fun’s sale of 40,000 SOL caused a 1.56% decrease in Solana’s price. Another 524,030 SOL will be released this week, which could put pressure on it in the short term. However, analysts are of the opinion that Solana will recover in the long term. According to CoinGape’s analysis, Solana’s weekly chart is showing a promising cup and handle formation. If it completes this formation, the price has the potential to rise 2600% to $4,500.

In summary, while fluctuations in the Solana price are expected in the short term, the long-term outlook is positive.