The native token of Solana 
$176, SOL, has once again garnered attention due to significant transactions in the last 24 hours. A substantial amount of SOL released by large investors has led crypto investors to focus on short-term price movements. With labor data expected to be released in the U.S., the market anticipates noticeable volatility, keeping a close eye on both on-chain movements and macroeconomic developments.
Large Investors Make Noteworthy Moves
According to data from blockchain analysis platform Lookonchain, some large investors have released SOL tokens worth $46.3 million. This amount corresponds to approximately 0.97% of SOL’s total trading volume over the last 24 hours. While this trading volume is not enough to disrupt the overall market balance directly, it has the potential to influence price movements.
The token price has been hovering around $116 recently, having fallen to $112 yesterday. These sudden ups and downs have prompted investors to seek short-term trading opportunities again. Daily fluctuations of 6% or more are also seen as a sign that volatility may be on the rise.
The substantial token movements can mean both risk and opportunity for investors holding short-term positions. Therefore, the actions of large wallets, often referred to as “whales,” are now monitored not only through technical analysis but also with on-chain data.
U.S. Data and Interest Rate Expectations May Increase Volatility
The upcoming March employment report in the U.S. represents a critical threshold for markets. Data released at 12:30 GMT is expected to show the economy adding 130,000 new jobs. This figure falls short of both February’s 151,000 and the 12-month average of 162,300.
According to FactSet, the unemployment rate is projected to be around 4.2%, with an anticipated 0.3% increase in average hourly earnings. These indicators may suggest a slowdown in economic growth, leading to speculation that the Federal Reserve could be closer to interest rate cuts.
The cryptocurrency market is sensitive to these expectations. The possibility of four 25-basis-point rate cuts could increase demand for risky assets. In tokens like SOL, which have high volatility, this scenario might lead to sudden upward price movements.
Volatility Index Signals Short-Term Fluctuations
According to data from the crypto derivatives platform Volmex, the implied volatility index for SOL is currently at 109.70%. This level indicates high volatility when annualized. The expected price fluctuation over 24 hours is calculated to be 5.74%.
This means that technical data suggests that price movements approaching 6% in the short term can be considered “normal.” This is an important indicator for both short-term traders and professionals engaged in options trading.
On the other hand, since testing its peak of $295 in January, the SOL price has been on a downward trend. This long-term trend may imply that short-term upward movements could be limited. Nevertheless, an unexpectedly positive economic report or a surprise interest rate cut could instantaneously reverse this trend.
