Trader who nailed 2018 Bitcoin Bottom issues alert to Solana holders, says SOL is showing clear bearish signs

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The crypto analyst who correctly called the Bitcoin (BTC) bear market bottom in 2018 says Solana (SOL) could be gearing up for a major retracement.

Pseudonymous analyst Smart Contracter tells his 217,900 Twitter followers that Solana’s strong start to the year has likely come to a close.

“Over 112% is moving lows on SOL in a clear V reversal, an impulsive five wave move. One of the clearest I can see in any field, in fact.

Over the next few weeks, I would expect an ABC to correct all of this run, probably between 25% and 35%, but it will probably be a drop to buy.

Source: Smart Contracter/Twitter

Smart Contracter uses Elliott Wave Theory, a technical analysis approach that attempts to predict future price action by following crowd psychology which tends to come in waves. According to the theory, a bullish asset tends to correct (ABC wave) after going through a five-wave rally.

Looking at the Smart Contracter chart, it seems to predict a break below $12 for SOL at the 0.618 Fibonacci level.

Closely-watched economist Alex Krger also thinks SOL’s epic price increases over the past few weeks have likely come to an end. According to Krger, the shorts that fueled SOL’s rally have already been erased.

“The bears were wiped out. SOL funding markets are back in balance. Think still has some headroom, but the outperformance phase is largely overdue.

Source: Alex Krger/Twitter

As of this writing, Solana is changing hands for $16.31, an increase of more than 1% on the day.

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