Solana's road to next all-time high: analyst explains

According to the analyst, both the bullish and bearish outlooks are still net positive overall, with an eventual fifth Elliot wave expected to take Solana to new highs.

A crypto analyst from the YouTube channel More Crypto Online gave their perspective on potential short-term price movement for Solana (SOL) in a video released on Dec. 27.

The analyst believes there are two likely scenarios in the near future — a short-term bullish outlook or a short-term bearish outlook. However, he views both scenarios as ultimately bullish in the bigger picture.

In the bullish scenario, the analyst thinks Solana could see “one more high” in an extended third wave, pushing to resistance levels between $134.79 and $147.47, before a broader correction begins. They note holding support at $89.80 could signal further upside.

In contrast, the bearish scenario would entail the correction already being underway. In this case, they expect Solana to retrace to major support between $47 and $79.34. The analyst stressed that both outlooks remain net bullish overall. Even if the deeper correction plays out, they expect a fifth wave upswing to take Solana beyond its previous all-time high eventually.

When examining the potential for the bullish extension, the analyst noted the importance of watching key Fibonacci levels that have acted as resistance and support zones recently. They also explained that the expected fifth wave could form an “ending diagonal” pattern, making it more difficult to determine the bottom of a pullback.