Solana’s Upexi Crashes 60%: Insider Dump Sparks Market Panic
Solana’s once-high-flying Upexi token just got gutted—down a staggering 60% after insiders bolted for the exits. Was it profit-taking or a warning flare?
Behind the bloodbath: Whales dumped hard. The usual 'hodl' narrative evaporated faster than a meme coin’s utility. Now retail’s left holding the bag—classic crypto.
Market watchers are side-eyeing Solana’s ecosystem. Another hyped project, another rug pull? The chain’s speed can’t outrun sell pressure when confidence craters.
Silver lining? For degens who missed the top, fire sale prices might look tempting. Just remember: in crypto, ‘discount’ often means ‘falling knife.’
Upexi Files With SEC
In April, Upexi announced plans to raise $100 million as part of its strategic pivot to accumulate Solana tokens. The company disclosed that it had entered into agreements to purchase approximately 43.9 million common shares, including pre-funded warrants.
The new registration filed with the US Securities and Exchange Commission (SEC) allows these investors to sell their stock if they choose to do so.
Upexi’s CEO, Allan Marshall, addressed the situation in an interview, explaining that the filing is standard procedure and does not necessarily indicate an immediate intent to sell by investors. “It doesn’t mean the investors are selling or want to sell, but it means they can,” he stated.
Upexi is adopting a treasury strategy similar to the one employed by Michael Saylor and his Bitcoin proxy firm Strategy (previously MicroStrategy), and Marshall expressed confidence in the long-term success of this approach.
However, the Solana treasury company’s stock (UPXI) closed Tuesday’s trading session down little over 60% toward $3.97, and down from the $24 level, its highest price for the year reached last April.
XRP, Solana, And Ethereum Join Bitcoin In Rebound
On another front, the broader cryptocurrency market saw a rebound after President Donald Trump announced a ceasefire between Israel and Iran. Following his declaration of a complete truce on Truth Social, Bitcoin (BTC) surged 2%, climbing from $104,000 to $106,000.
Other cryptocurrencies, including XRP, Solana, and Ethereum (ETH), also experienced gains, contributing to a 3% increase in the overall cryptocurrency market cap, which rose from $3.19 trillion to $3.27 trillion since the ceasefire announcement.
David Siemer, CEO of crypto asset manager Wave Digital Assets, remarked on the positive market reaction, attributing it largely to the easing tensions in the Middle East. Despite Trump’s subsequent warnings to both nations regarding violations of the ceasefire, cryptocurrencies maintained their momentum.
The backdrop of this volatility stems from escalating conflict earlier in the month, triggered by a United Nations report indicating Iran’s non-compliance with nuclear safeguards. This led to Israeli airstrikes on nuclear sites in Iran, escalating tensions and prompting fears of a broader conflict.
The situation intensified further when Trump announced US military airstrikes on Iranian nuclear facilities, sending investors into a panic and causing bitcoin to drop below $100,000 for the first time in over a month.
When writing, Solana trades at $145, up by 1.5% in the 24-hour time frame.
Featured image from DALL-E, chart from TradingView.com
