Solana’s Price Action Suggests Further Correction Possible
Solana’s recent price movements indicate that its correction might still have some time left before a recovery truly kicks in. Even though buyers are stepping in at crucial levels, the overall trend suggests there could be one last drop before any significant rise happens.
Wave IV Still Has Room to Move
According to cryptocurrency analyst More Crypto Online, Solana’s chart reveals signs that further declines could occur before the current correction fully wraps up. In one possible scenario, the price dynamics align with a wave C decline within a broader wave IV correction. As long as the market’s behavior does not become impulsive, this outlook remains valid.
Even when looking at an alternate scenario, this pullback might still be classified as wave A, allowing for deeper lows before a wave B recovery or a potential fifth wave upward. Whichever way you look at it, experts suggest that the correction isn’t finished just yet.
From a short-term perspective, charts indicate that Solana might dip into the $81 to $90 range. Currently, there aren’t any strong structural signals that would suggest a bullish trend in the near term. The downside remains the primary focus due to the absence of strong upward movements.
However, should prices rise from where they are now without hitting new lows, the overall pattern post-January 2025 could start to look more like a triangular consolidation instead of a completed wave IV. This alternative scenario hints at more sideways movement rather than a quick return to a rising trend. Until stronger upward momentum is seen, the possibility of further declines remains a concern.
Response at the 50% Fibonacci Level Indicates Buying Strength
AltCoin Việt Nam mentioned that Solana’s current price trend is showing a solid and reassuring reaction at the 50% Fibonacci level. Instead of a sharp drop, prices have bounced back in a controlled way, implying that buyers still hold sway. From the wave structure perspective, Wave IV isn’t in a rush to finish up, which provides space for Wave C to continue expanding if the market follows its broader rhythm.
The ongoing ETF situation is also contributing to a more positive outlook for Solana. The influx of spot SOL isn’t just driven by fear of missing out, but rather through steady accumulation over several sessions. This kind of capital flow tends to indicate long-term interest rather than quick speculative moves, helping to explain why prices tend to rebound swiftly when they approach major support areas.
Nevertheless, this optimistic view is contingent on certain conditions. If the price drops consistently below the 50% Fibonacci level, it would signal a breakdown of the current market structure. Yet analysts perceive the recent decline as a short-term pause in a larger upward trend, rather than the beginning of a genuine downward trajectory.
