Renowned TradingView analyst Alan Santana has revised his forecast for Solana (SOL), now predicting a steeper decline to $55.
This updated target suggests a more pronounced downturn than initially anticipated. Meanwhile, Santana pointed out that the $55 level still lacks significant support, which could exacerbate the downward momentum.
He also draws a comparison to Ethereum’s recent performance, cautioning that Solana, as a smaller and less established asset, may be more susceptible to a severe crash. He emphasizes the potential evaporation of crypto wealth, warning traders to stay vigilant.
$58.82 Support Level Aligns with Santana’s Target
Santana’s analysis highlights key Fibonacci retracement levels, with the 0.382 level at $137.03 being particularly significant as the price hovers nearby. He also points out the 0.5 retracement level at $114.18 and the 0.618 level at $91.34, which could offer temporary support.
However, the 0.786 retracement level at $58.82 suggests a more substantial support zone, aligning closely with Santana’s revised target. Additionally, a descending trendline reinforces the bearish sentiment, as SOL consistently fails to break above it. A rounding top pattern further signals a potential bearish reversal.
Speculative Timeline for Solana’s Decline
Santana speculates that if Solana’s downward movement begins around August 29, it could continue for three weeks, reaching a final low by September 19. While he acknowledges the difficulty in predicting exact movements, he suggests a possible bounce followed by a lower low, signaling the end of the bearish wave.
Although this timeline is speculative, Santana emphasizes Solana’s ongoing downward trajectory, mirroring the trends of other major cryptocurrencies like Bitcoin, Ethereum, and XRP, which are also experiencing declines. He hints that smaller and medium-sized projects, which have already seen significant drops, might recover more quickly.
Solana’s Potential Parallels with Ethereum
Santana’s bearish perspective aligns closely with other market watchers who have projected a significant downturn for Solana, though he is more bearish than others. While some have suggested a drop to $85, Santana is looking at a potential low of $33.
In another analysis, market pundit Benjamin Cowen highlighted Solana’s likelihood to follow a pattern similar to Ethereum’s trading pair with Bitcoin. Cowen compares ETH/BTC and SOL/BTC, noting that both have experienced significant drops from their peaks.
Cowen points out that ETH/BTC’s recovery included a robust rebound of over 500%, followed by consolidation and another correction. He observes that SOL/BTC has shown similar patterns, with a 90% drop followed by a notable rebound. Cowen indicates that Solana’s next phase might involve consolidation, mirroring Ethereum’s past movements.
At press time, Solana trades at $145% after losing 1% of its value over the past day. A drop to $55 would mark a staggering 62% drop.
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