- Jupiter's $500 million Airdrop event activated 61% of wallet requests, but caused the JUP price to drop 11% in 24 hours.
- Stable liquidation activity as JUP Open Interest increased 8.63% to $122.9 million amid strong trading volume.
The decentralized exchange Jupiter [JUP] on the Solana [SOL] platform has officially launched the long-awaited "Jupuary" Airdrop.
Over 2 million eligible wallets received a portion of the 700 million JUP Tokens, worth around $500 million.
As of January 23, 578,657 wallets - 61% of eligible participants - have successfully received their Tokens, according to Dune data. However, nearly 39% of wallets are yet to claim the Airdrop.
JUP declines amid high trading volume
The price of JUP stood at $0.7849 at the time of issuance, down 11.29% in the past 24 hours. In the previous week, the Token had declined 3.65%, with a current market capitalization of $1.86 billion.
Trading volume has remained strong, reaching $816 million in the past 24 hours.
The recent price decline of the Token is related to the increased sell-off following the Airdrop Token distribution. Profit-taking behavior has been observed as recipients liquidate their holdings.
At the same time, the Airdrop has contributed to increased liquidity and trading activity, which may help stabilize the market in the near future.
Reduced leverage after strong volatility
According to data from Coinalyze, the liquidation trend shows high volatility on January 18.
During this period, long liquidations peaked at over 1.2 million, closely followed by short liquidations exceeding 800K.
This activity reflects strong trading pressure, likely driven by sharp price movements or market speculation.
Source: Coinalyze
From January 19, liquidation activity has decreased significantly, with current data showing a net liquidation preference of -1,837 short contracts.
The stability in liquidation suggests a reduction in leveraged trading activity, as traders appear to be more cautious.
This calm environment is in line with the gradual recovery in Open Interest (OI) observed.
Open Interest, TVL show signs of recovery
On January 23, Jupiter's Open Interest reached $122.923 million, up 8.63% in 24 hours.
This indicates a moderate recovery after the strong volatility recorded between January 18 and 19.
Source: TradingView
OI has held above $110 million after the decline, indicating some stability in market activity despite continued sell-offs.
Additionally, data from DappRadar shows that the Total Value Locked (TVL) of the Jupiter exchange on Solana has grown steadily. As of January 23, the TVL reached $2.85 billion, up from $2.5 billion at the beginning of January.
This increase is attributed to the heightened activity stemming from the Airdrop, attracting significant user participation.
The market's focus remains on whether JUP can recover its price after the Airdrop, with liquidation trends and trading activity serving as key indicators for future performance.
