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Predicting Solana Price Action: The Elliott Wave Approach


Elliott Wave Analysis of Solana (SOL): What’s on the Horizon?

Elliott Wave Predictions

Solana’s Uptrend: Analyzing Indications of Exhaustion

Solana has been riding a local uptrend, and while there’s no strong evidence that Solana’s fifth wave has peaked, there are signs of early exhaustion. The structure of the recent move differs from the main elements of the previous one. Deeper setbacks are becoming evident. Additionally, when examining indicators like the 4-hour chart and the RSI, we observe bearish divergences emerging, serving as early warning signals. However, it’s essential to note that these are not confirmations. Only price action can confirm a trend reversal. Nevertheless, closely monitoring these indicators is valuable for early insights.

The Role of MACD in Identifying Exhaustion

The MACD indicator also indicates signs of exhaustion. These indicators are typically used when the price structure aligns with the signals they generate. Currently, there’s no concrete evidence to suggest that a pullback has initiated. We are operating under the assumption that we are in the late stages of wave one. Despite this, the uptrend remains intact. The daily MACD indicates that the overall momentum has not waned, and there is no bearish divergence on the daily timeframe as of yet. Further developments will determine if a bearish divergence emerges. For this particular wave degree, the 4-hour chart is usually sufficient.

Making Sense of Solana’s (SOL) Price Movements with Elliott Wave

A Deep Dive into Solana's


Understanding Cryptos’ Unpredictable Nature

While we have no concrete proof that a pullback is underway, it’s important to recognize that we are in the later stages of wave one. However, the uptrend has not concluded yet. Key support levels have not been breached. The critical micro support is at $27.50. A breakdown below this level would suggest a potential trend reversal. Cryptos are known for their unpredictability, and it’s essential to remember that these surges may continue for longer than anticipated. The primary strategy is to follow the trend.

Trading Strategies for Cryptos

It’s crucial to acknowledge that in the current crypto market, it’s nearly impossible to pinpoint when a rally will conclude. The rapid and substantial moves within the crypto sector make it challenging to predict an endpoint. In such scenarios, following the trend and identifying support levels is the key strategy. A cryptocurrency is not considered to have peaked without sufficient evidence to support the claim. Cryptos can extend rallies for longer periods than anticipated, especially when they are in a major uptrend.

Charting Solana’s (SOL) Future: An Elliott Wave Perspective

Analysis of Solana

Key Support Levels to Monitor

The current support levels to watch are down to $19.89. The primary micro support level stands at $27.50. For those interested in actively trading shorter timeframes, they can consider techniques like moving average crosses. Moving average crosses can be instrumental in gauging when a trend may conclude. However, this approach requires a customized analysis for each chart. Different cryptocurrencies behave differently, and various timeframes have unique characteristics. Therefore, thorough backtesting is necessary for a bespoke trading plan.

Identifying Potential Trend Reversals

Keep an eye on trendlines as one of the earliest indicators of a trend shift. Solana’s upcoming levels to watch to the upside include $36.50, which depends on the timing and corresponds to the ascending trendline of the wedge pattern. Additionally, $38.80 holds significance as a resistance level, considering it marks the start of a major downturn that occurred in November 2022.

Navigating the Solana (SOL) Price Trends with Elliott Wave Analysis

Price Action



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