Solana Price Faces 40% Crash Risk Amid Bearish Technical Signals

Generated by AI AgentCoin World
Saturday, Jul 12, 2025 2:07 am ET1min read
SOL
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The

Solana
price has experienced a significant decline since reaching an all-time high of nearly $300 in January 2025. Despite a recent market recovery, the price remains over 45% below its peak, indicating the challenges the altcoin has faced. A crypto analyst has suggested that the Solana price could drop even further, predicting a potential 40% crash.

Crypto analyst The Alchemist Trader has identified a rare bullish harmonic pattern on the Solana price chart. While this pattern is generally bullish, it also presents short-term challenges for the altcoin. The pattern initially triggers a liquidity sweep of previous lows, with the recent Solana price low at the $95 level, which is a 40% decrease from its current price above $150. This possibility is reinforced by several technical developments on the chart.

The first technical point highlighted by the analyst is the Point of Control (POC) Battle. The Solana price is currently testing this POC level with low momentum, as indicated by the slow climb over the past few days. Additionally, there is significant resistance at the Value Area High and the 0.618 Fibonacci level, which lies just above $163. The completion of the C-leg of the wave could push the price as low as $95.

A crash to this level becomes more likely if the Solana price fails to break through the resistance convincingly. If the price is rejected and the C-leg plays out, this correction is expected to trigger a 40% crash to the $95 level.

Despite the bearish outlook in the short term, the rare bullish harmonic pattern suggests that the crash to $95 is only temporary. Once the D-leg is completed and the crash is over, the analyst predicts that the Solana price will begin to rally again. From the predicted $95 lows, an over 100% move is expected, taking it back to $200 and beyond before the rally is over.

The analyst explains that until this scenario is confirmed or invalidated, Solana remains range-bound between major high time frame levels. Traders should stay alert for signs of rejection at current resistance or, conversely, a volume-backed breakout above the value area high that would negate the harmonic setup.