Seven hours ago, a significant deposit of 122,620 SOL, worth approximately $21.75 million, was made by Pumpfun on the Kraken exchange, according to Lookonchain. This deposit is part of a broader pattern, with Pumpfun having deposited a total of 1,785,278 SOL, valued at $359 million. These substantial movements have been accompanied by sales of 264,373 SOL for 41.64 million USDC. The source indicates that Pumpfun has accumulated a total of 2,241,890 SOL, valued at $410 million.

The implications of these transactions are noteworthy for traders. The consistent deposit and sale of SOL on Kraken by Pumpfun suggest a strategic liquidation phase, potentially impacting SOL's market liquidity and price stability. A significant influx of SOL into Kraken could increase selling pressure, potentially leading to price depreciation unless met by equivalent demand. The trading community should monitor Kraken's order books for signs of increased sell orders, which could offer opportunities for strategic short positions or hedging strategies.

Technical indicators also reflect the impact of these transactions. Volume indicators on Kraken have shown a marked increase coinciding with these deposits, indicating heightened trading activity. On-chain metrics reveal a surge in SOL transfers, suggesting active movement within wallets linked to Pumpfun. Furthermore, market depth analysis shows a potential thinning of buy orders at key support levels, possibly due to anticipatory sell pressure. Traders are advised to keep an eye on the relative strength index (RSI) and moving averages for any signs of trend reversals or continued bearish momentum. These indicators are crucial in assessing the potential for further short-term price declines or stabilization in SOL's market performance.