In early November 2022, the FTX exchange and its sister trading firm Alameda Research collapsed within days, culminating in a bankruptcy filing on November 11. Solana, which FTX founder Sam Bankman-Fried had championed heavily and held large positions in, was hit especially hard as fear spread that the token would be dumped in a fire sale or that the network's ecosystem would be crippled by its closest backer's demise.
This window is brutal to trade because the news flow moved faster than most traders could process it — rumor, denial, and confirmation collapsed into the same 48 hours, and price gapped repeatedly on headlines rather than following any technical structure. Bounces were sharp but short-lived, punished immediately by the next piece of bad news.
Same engine, same hidden right-hand side — a different day's problem.