Top Analyst Raises Concerns About Solana’s Bearish Signals, Updates Forecasts for Sei and Dogecoin Rival
A prominent crypto analyst, who accurately predicted Bitcoin’s price floor during the 2018 bear market, has recently changed his outlook on Solana (SOL) and is now bearish on the cryptocurrency. Known as Bluntz, this pseudonymous analyst shares with his large following on X that Solana is exhibiting several bearish signals on the daily chart, even after reaching a seven-day high of approximately $106. Bluntz suggests that Solana could potentially lose over 10% of its current value before finding a bottom and recommencing its upward trend.
Bluntz utilizes the Elliott Wave theory, a technical analysis method that aims to anticipate future price movements based on observed crowd psychology that typically appears in waves. According to this theory, a bullish asset experiences a five-wave surge before transitioning into a three-wave correction phase. Analyzing Bluntz’s chart, it appears that SOL has completed its five-wave rally and is currently undergoing a three-wave pullback.
In addition to Solana, Bluntz is also observing the price action of its competitor, Sei (SEI). According to the analyst, SEI has recently finished an ABC correction on the four-hour chart and is preparing for a significant surge. Bluntz suggests that SEI has been accumulating vertically for the past week and anticipates a rapid climb to $1.
Lastly, Bluntz predicts positive price movements for the meme asset dogwifhat (WIF). The analyst believes that WIF has finished its consolidation period and is primed for substantial upward movements.
At present, Solana is trading at $100, representing a decrease of over 6% compared to its recent high of $106.14. SEI is currently valued at $0.692, and WIF is trading at $0.282, potentially signaling a 400% increase if it reaches Bluntz’s target of $1.40.
Overall, Bluntz’s latest analysis paints a cautious picture for Solana while highlighting potential opportunities for SEI and WIF.