FTX Unstakes $30.9 Million in SOL as Solana Shows Market Resilience Amid Crypto Rally

The cryptocurrency market is witnessing a significant rally, with Bitcoin soaring to new all-time highs above $118,000. Altcoins like Ethereum, XRP, and Solana have also seen substantial gains, surging between 5-8%, signaling renewed investor confidence. Solana, in particular, has demonstrated remarkable resilience, maintaining a strong price of $164.71 despite FTX's recent move to unstake 189,851 SOL, valued at approximately $30.94 million. This action is part of FTX's ongoing liquidation process, which has included periodic unstaking of Solana tokens. The broader market optimism and Solana's ability to withstand such sell pressure highlight the growing strength and maturity of the cryptocurrency ecosystem.

FTX Unstakes $30.9 Million in SOL Amidst Solana's Market Resilience

The cryptocurrency market is experiencing a broad rally, with Bitcoin reaching unprecedented highs above $118,000. Altcoins such as Ethereum, XRP, and Solana have surged 5-8%, reflecting renewed investor optimism. Solana, in particular, has demonstrated resilience, trading at $164.71 despite FTX's latest move to unstake 189,851 SOL worth $30.94 million.

FTX's ongoing liquidation process has seen periodic unstaking of solana tokens, with previous instances triggering short-term price declines. In March, the exchange unlocked 3.03 million SOL, causing a 19% drop—Solana's steepest since November 2023. Subsequent unstaking events in May and June led to minor dips of 3-5%. Yet, the asset has maintained its upward trajectory, underscoring robust demand.

Market participants are divided on whether the latest unstaking will introduce significant selling pressure. While some view it as a routine liquidation step, others caution it could dampen sentiment during a critical bullish phase. Solana's performance today, up 4.5%, suggests the market may have already priced in these dynamics.

BlockFi and DOJ Settle $35 Million Crypto Lawsuit

BlockFi’s bankruptcy administrator and the U.S. Department of Justice have reached a settlement to resolve a $35 million dispute over crypto assets. A New Jersey judge approved the agreement, allowing BlockFi to advance its bankruptcy proceedings.

The lawsuit originated in May 2023 when the DOJ sought to transfer $35 million in crypto from two BlockFi accounts linked to Estonian individuals involved in an unrelated fraud case. The DOJ contested the jurisdiction of the U.S. Bankruptcy Court to block the transfer, sparking a legal battle amid BlockFi’s bankruptcy.

With the case now closed, BlockFi can focus on repaying creditors. The firm collapsed in 2022 following the downfall of FTX, its largest creditor, leaving $10 billion in debts to over 100,000 creditors, including Three Arrows Capital. A separate $875 million settlement with FTX and Alameda Research was finalized in March 2023.