In a technical analysis, renowned crypto analyst Gert van Lagen
presented an extremely bearish outlook for Solana (SOL), suggesting
that its price is poised for a substantial downside move. Van
Lagen’s analysis is underpinned by the widely acclaimed Elliott
Wave Theory, a methodology that seeks to identify recurring
patterns and cycles in market price movements. Why The Solana Price
Could Crash At the core of Van Lagen’s analysis lies a dissection
of Solana’s price action over the past few years. According to his
assessment, the year 2021 marked the culmination of a clean Elliott
Wave trend for Solana, signaling the end of a bullish cycle. This
uptrend is characterized by a specific pattern of five waves, with
the final wave acting as the climactic move before a reversal.
Moving into 2022, Van Lagen’s analysis identifies the unfolding of
the A-wave down, which he classifies as the first leg of a
prolonged bear market. Crucially, this A-wave down exhibits a
distinct pattern of five subwaves, aligning with the principles of
the Elliott Wave Theory. The presence of these subwaves is a key
indicator that the downtrend is likely to persist, as they are
believed to reflect the underlying market sentiment and psychology.
Related Reading: Solana-Based GameStop Tribute Token (GME) Soars
300% Following Roaring Kitty’s Return In 2023, Van Lagen observed
the formation of the B-wave, a corrective rally within the broader
bear market context. Just like the A-wave, this B-wave is composed
of five subwaves, adhering to the Elliott Wave Pattern for
corrective movements. The identification of this B-wave is crucial,
as it suggests that the overall downtrend has not yet been fully
exhausted and that further downside momentum may be forthcoming. As
the analysis shifts to 2024, Van Lagen’s expectation is for the
C-wave to materialize. In the Elliott Wave Framework, the C-wave is
the final leg of the broader bear market cycle, and its occurrence
would potentially mark the completion of the ongoing downtrend for
Solana. Notably, Van Lagen’s analysis also highlights the presence
of bearish divergence on the weekly Relative Strength Index (RSI),
a widely used momentum oscillator. Bearish divergence occurs when
the price makes higher highs while the RSI fails to confirm these
highs, potentially signaling a forthcoming trend reversal or a loss
of bullish momentum. Related Reading: Solana Remains Institutional
Investors’ Favorite, YTD Flows Ramp Up To $29 Milion Van Lagen
posted via X: “I’m short on SOL –> ready for the next leg down.
2021: Finalized a clean Elliottwave up; 2022: A-wave down of
prolonged bear market
Gráfico Histórico do Ativo
De Mai 2024 até Jun 2024
Gráfico Histórico do Ativo
De Jun 2023 até Jun 2024