Sonic’s native token S faces fresh downward pressure after a sudden 5-year partnership with market production company Wintermute.
The split, announced on May 15, caused a series of major token dumps that drove the price of tokens sharply.
Large Sonic Token Dumps ignite market panic
According to the Sonic Ecosystem Tracker Intel Scout, WinterMute offloaded 1.5 million S tokens within 24 hours of its announcement. This came just after the company sold its previous batch for around $857,000.
Intel Scout noted that sales were not surprising. They noted that the activity is closely aligned with Sonic’s decision not to renew its exclusive market production agreement with the company after extensive collaboration.
Earlier in the week, Sonic’s strategy director confirmed that the platform was in discussion with its new partner.
The executive said future market makers must align with the broader vision of blockchain networks to shift towards distributed financial (DEFI) integration beyond centralized exchange liquidity.
Meanwhile, this situation has an interesting twist as large numbers of holders were involved in the dumping.
Intel Scout flagged the wallet linked to digital asset broker Falconx moved 2.3 million of the 3 million tokens it recently won for Binance. This transaction occurred within the same 24-hour window as a WinterMute dump.
Similar moves with other whale wallets have sparked speculation across the community.
Intel Scout questioned whether these were coordinated outlets, liquidity changes, or signs of routine exchange activities. Some observers had suggested the possibility of price manipulation.
“The other thing I noticed is a similar pattern to other whale wallets.
There was a suggestion that Falconx could be selling well and running a shopping strategy.
However, Intel Scout dismisses that theory, indicating that recent sales have been made at losses and there is no immediate profit gain.
Following all of these well-known sales, the price of S-Tokens has fallen by more than 8% in the past day, and is currently trading around $0.50.
Over the past week, the tokens have lost more than 15% of their value, reflecting the market’s response to these rapid off-roading.
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