dailyhodl.com
A crypto analyst who accurately called Bitcoin’s (BTC) price floor during the 2018 bear market is suddenly flipping bearish on Solana ($SOL).
Pseudonymous analyst Bluntz tells his 239,000 followers on the social media platform X that Solana is flashing multiple bearish signals on the daily chart after rallying to a seven-day high of around $106.
According to Bluntz, Solana may lose more than 10% of its value from current levels before carving a bottom and restarting its uptrend.
“[Five-wave] up visible on daily for $SOL and a bearish SFP (swing failure pattern).
HTF (high time frame) structure still looks great but don’t be surprised if we pull back here back into the high $80s.”
Bluntz practices the Elliott Wave theory, a technical analysis approach that attempts to predict future price action by following crowd psychology that tends to manifest in waves. According to the theory, a bullish asset goes through a five-wave surge before entering a three-wave corrective period.
Looking at the trader’s chart, he seems to suggest that $SOL has completed a five-wave rally and is now in the process of a three-wave pullback.
Bluntz also notes that yesterday’s daily candle looks like a swing failure pattern, when $SOL bulls tried to push prices higher but were negated by selling pressure.
At time of writing, $SOL is worth $100, down more than 6% from yesterday’s high of $106.14.
The crypto strategist is also looking at the price action of Solana competitor Sei ($SEI). According to Bluntz, $SEI has completed an ABC correction on the four-hour chart and is now gearing up for a big surge.
“$SEI has been vertically accumulating for a week.
Send it to $1 post haste.”
At time of writing, $SEI is trading for $0.692.
Lastly, Bluntz is predicting rallies for the meme asset dogwifhat ($WIF). The analyst thinks that $WIF is done consolidating and is ready for big bursts to the upside.
“Imagine thinking the $WIF trade is over and not thinking it goes up and to the right.”
At time of writing, $WIF is trading for $0.282, suggesting an upside potential of nearly 400% if the memecoin hits the analyst’s target of $1.40.
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