Solana Derivatives Market Sees Disconnect from Falling Prices Amid Whale Bets
Solana's derivatives market is showing signs of disconnection from its falling prices. Despite the decline in dollar-denominated Open Interest (OI) by nearly 47.5%, the OI for Solana has increased by almost 21.6% compared to last year, indicating that traders hold more SOL exposure despite the lower dollar valuation.
The current USD-denominated OI sits at approximately $4.04 billion, a decline of around $3.66 billion from about $7.70 billion last year. Meanwhile, the OI for Solana has risen by 9.38 million to reach 52.87 million SOL.
A large whale has added significant leveraged risk through a directional bet, depositing $8.43 million in USD Coin (USDC) before targeting a 500,000 SOL long position using 20x leverage. The TWAP order has filled 199,838 SOL, worth roughly $15.2 million, near a $75.985 average entry.
Due to the 20X leverage, margin calls are likely when SOL rapidly moves downward. Solana is considering two supply changes that would reduce SOL circulation through different mechanisms, potentially tightening supply and supporting leveraged bullish positions if spot demand remains firm.