Solana whale sells 33,366 SOL ending position at a $230K loss

Key Transaction Details

• •
  A significant Solana holder, identified by the address DYzF92, sold 33,366 SOL, valued at approximately $4.71 million.
• •
  This sale occurred after the holder had maintained the position for seven months.
• •
  During the holding period, the whale earned approximately 1,283 SOL in staking rewards, worth around $181,000.
• •
  Despite the staking rewards, the final exit resulted in an estimated loss of $230,000.

Whale Sells Long-Held Solana Position

A large Solana address, identified as DYzF92, has closed a major position after holding it for seven months. The wallet sold 33,366 SOL worth about $4.71 million, according to data shared by Lookonchain.

The wallet had initially acquired its position seven months prior, purchasing 32,083 SOL for approximately $4.94 million. During this holding period, the holder also accumulated 1,283 SOL in staking rewards. According to Lookonchain, these rewards were valued at around $181,000 at the time of the sale.

Despite the accumulated staking rewards, the sale resulted in a net loss for the whale. Lookonchain reported that the exit placed the wallet "in the red" with an estimated loss of $230,000. This transaction has garnered attention due to the holder's consistent reward earnings yet the decision to close the position.

Staking Rewards Did Not Offset Price Decline

The Solana holder benefited from earning staking rewards consistently throughout the seven-month period. Staking is a common practice within the Solana network, allowing users to generate regular income while contributing to the network's security.

The whale's accumulation of 1,283 SOL in rewards added value to their overall holdings. However, the market price of SOL experienced a downturn during the same timeframe. The amount paid for the initial tokens exceeded the proceeds from the sale, indicating that the staking rewards were insufficient to compensate for the price depreciation.

The final financial outcome revealed that the difference between the initial purchase cost and the selling price, even after accounting for the staking rewards, left the account below the break-even point.

On-chain data continues to be a critical tool for analysts and traders seeking to understand the behavior of large holders during periods of market uncertainty. Transactions originating from major wallets can provide valuable context and illustrate the performance of long-term investment strategies when faced with declining prices.