A well-known crypto strategist who has been optimistic about Solana (SOL) for the past year is suddenly becoming pessimistic about the rival cryptocurrency Ethereum (ETH).

In a recent video, an anonymous analyst known as Bluntz informs his 259,600 followers on the social media platform X that Solana seems to have completed a five-wave rally. Bluntz follows the Elliott Wave theory, a technical analysis method that aims to predict future price movements by observing crowd psychology, which tends to manifest in waves. According to the theory, an asset that has experienced a five-wave upward movement is likely to experience a corrective phase.

According to the analyst, SOL has been displaying bearish patterns ever since reaching its recent high of around $210 in March.

“We can see a clear five-wave rise here on SOL from the lows of the bear market. Not only do we see that five-wave upward movement, but from this peak of the fifth wave ($210), we can also observe a five-wave decline, followed by a three-wave upward movement… And now we’re starting to decline again. This hasn’t risen in five waves; it has declined in five waves. It’s starting to face difficulties here, so I believe there’s a very high possibility that this will end up being a major lower high ($188) for SOL/USD, and it will likely trade sideways and ultimately drop to lower levels.”

Looking at the trader’s chart, it appears that he predicts SOL may drop all the way down to $80. Currently, SOL is trading at $165.

Source:
Bluntz/X

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