Solayer plunges 34% with over $1B in trading volume ahead of upcoming token unlock

Solayer’s token has seen a significant crash, wiping out over $350 million in value as investors brace for a major token unlock. Solayer’s token has dropped by nearly 35% in the past 24 hours, trading at $1.75 as of press time. The token is now down 47.8% from its all-time high of $3.39 set on May 5. Market activity surged alongside the price drop, with over $1.26 billion in LAYER traded in the last 24 hours, a 179% increase, as per CoinGecko data . The sharp decline appears to be driven by investor fear over an upcoming May 11 token unlock. According to Tokenomist data , this unlock will release more than 27 million tokens, nearly 13% of the total supply, valued at $46.7 million. Many expect the unlock to add more selling pressure. The event will also start a long-term vesting plan, with fresh tokens issued every three months to the foundation until 2030. Data also points to a whale exiting their position during Asia trading hours, potentially accelerating the decline. In a May 6 post on X, one user described the event as a “scam exit,” noting the wallet had quietly opened a large short via perpetual futures, pushing funding rates negative, then slowly sold off their long position. $LAYER ( SOLAYER) – the scam exit happening in real-time. Looks like the large supply holder is making a quiet exit today during Asia session, 5 days ahead of unlock. -Built a massive short via perp, pushing funding down. –Slowly unwinding spot long. the gig is up. pic.twitter.com/b5iGvZLik5 — onchainquant (@onchainquant) May 6, 2025 You might also like: Berachain drops 21% in a week after $2.7B unlock — can bulls defend this critical support zone? This strategy reportedly helped the trader profit despite the crash. Some users on X claim this was part of a planned exit involving over-the-counter token sales and short positions. Solayer has lost around $350 million in market value following this decline, reversing much of its 460% gains from February through early May. Many users say they are surprised by how fast the price dropped. The long/short ratio flipped to 1.45, showing that some traders expect a recovery, though volatility remains high and others fear more losses. Still, the Solayer team insists the project remains solid. Solayer is a hardware-accelerated blockchain , aiming for speeds of over one million transactions per second. The Solayer Emerald Card also lets users spend USD Coin ( USDC ) with Visa, and works with Apple Pay and Google Pay. Read more: XRP whale wallets surge past 300K — is a breakout on the horizon?

Source: crypto.news