Solana (SOL) Faces Potential 39% Correction, Whales Dump XRP and Dogecoin

Crypto strategist Ali Martinez has raised concerns about the potential for a significant correction in Solana (SOL), warning that the layer-1 protocol could experience a 39% drop. In a recent post on the social media platform X, Martinez shared his outlook on SOL, suggesting that the asset may be on the verge of a severe corrective move.

According to Martinez, SOL must maintain a key support level to invalidate his bearish outlook. He noted that if SOL fails to hold above $191, a drop to $138 could be imminent, representing a 39% decline from its current price of $197. This potential move would take SOL back to levels last seen in October 2024.

Martinez's analysis indicates that SOL is still trading within an ascending parallel channel, a pattern that typically signals an uptrend with higher highs and higher lows. However, losing $191 as support would invalidate the channel's diagonal support, potentially ending a multi-month uptrend for SOL.

In addition to his analysis of SOL, Martinez also highlighted significant sell-offs by whales in XRP and Dogecoin (DOGE). He reported that whales had unloaded tens of millions of dollars worth of XRP and DOGE in a single day, with XRP and DOGE prices falling by over 20% and 22%, respectively.

While Martinez's warnings about SOL and the sell-offs in XRP and DOGE are concerning, it is essential to remember that crypto markets are volatile, and prices can fluctuate significantly in both directions. Investors should always conduct their own research and consider multiple sources of information before making investment decisions.