Wallet Linked to FTX and Alameda Moves $31.5M in Bitcoin, Sparking Sell-off Concerns

A wallet associated with Alameda Research recently moved around 231.4 Bitcoin, worth approximately $13.5 million in the last few hours. Of this amount, 200 BTC was sent directly to Coinbase.

This large transaction is part of a recurring trend involving wallets linked to the collapsed FTX exchange, which has stirred concerns of potential selling pressure.

The latest transactions sparked curiosity about their purpose and potential impact on market liquidity.

Alameda Address Moves Bitcoin Following FTX-linked SOL Token Redemption

On September 13, blockchain security firm PeckShieldAlert spotted the movement of 231.4 BTC in five separate deposits from one Alameda-linked address, 3Ms...zMm. The deposits came as 37.80 BTC, 59.82 BTC, 56.93 BTC, 39.47 BTC, and 37.91 BTC, all amounting to 231.39398632 BTC.

Of the overall amount of BTC, 31.39 BTC went to an address starting with bc1...rs4, while the remaining 200 BTC was moved to a Coinbase address.

The previous day, an FTX-linked wallet withdrew 177,693 SOL worth nearly $24 million from the Solana Proof-of-Stake network. Even after this withdrawal, the wallet holds a significant balance of 7.057 million SOL, roughly valued at $954 million.

Interestingly, the 7.057 million Solana tokens have remained staked within the Solana ecosystem.

Market Experts Hint Potential Dip for SOL Considering Its Low Relative Strength Indicator (RSI)

The substantial transfer of Solana tokens by FTX and Alameda-affiliated wallets is likely contributing to the fluctuation in SOL's price.

These actions will likely influence market perception, driving both sell-offs and cautious trading behaviour as traders react against further token liquidations.

Given this market activity, market experts perceive that the recent transfers play a role in SOL's price performance.The Relative Strength Index (RSI) for SOL has dropped to 46.11, signalling a shifttowards more neutral territory.This suggests that buying momentum has declined and is currently at equilibrium with selling pressure.

The RSI highlights the compromised market sentiment, contributing to the overall SOL price trend.

Potential Implication of FTX/Alameda Liquidations

Notably, the now-defunct cryptocurrency exchange FTX made significant investments in Solana before its collapse in November 2022. FTX's bankruptcy played a major role in the sharp decline of SOL's value, which dropped to as low as $8, as reported in 2023.

FTX and its sister company, Alameda Research, began systematically reducing their Solana holdings after the collapse.To minimize market disruption, they opted for over-the-counter (OTC) sales strategies, which reduced the chances of triggering market volatility.

Alongside Bitcoin (BTC) and Solana (SOL), Alameda Research-linked wallets have moved approximately $46 million worth of various cryptocurrencies, including Ethereum (ETH) and Polygon (MATIC), to major exchanges like Kraken, Coinbase, and Binance.

Additionally, market observers have noted smaller transactions, such as a $2.1 million transfer of SushiSwap (SUSHI) tokens. These transactions showcase continued activity from Alameda-affiliated wallets across several blockchain networks, likely in preparation to refund its creditors.

So far, the impact of Alameda's recent fund movement on Bitcoin has yet to be determined.

The post Wallet Linked to FTX and Alameda Moves $31.5M in Bitcoin, Sparking Sell-off Concerns appeared first on The Tech Report.