On the social media platform X, popular crypto analyst Bluntz has caught the attention of investors by predicting a significant drop in the memecoin dogwifhat (WIF), which is developed on the Solana (SOL) Blockchain. The analyst also mentioned an expected decline in SOL itself.
Bluntz Anticipates a Rough 69% Drop for WIF
Bluntz shared with his followers on his personal X account that he expects the main network asset of dogwifhat, WIF, to plummet sharply in the short term. Known for using the Elliott Wave theory in his technical analysis, the analyst emphasizes the completion of a five-wave rally in WIF, indicating a potential entry into an ABC correction wave.
According to this theory, assets moving in an uptrend typically undergo an ABC correction after a five-wave upward movement. Bluntz detailed his warning by saying, “I think the macro 5th wave for WIF might have completed here from the beginning. Considering all waves, it will likely go through a long ABC correction before the next parabolic rally.”
Looking at the price chart shared by Bluntz, it appears that WIF is predicted to fall to $1, which is roughly 69% below its current price, aligning with the 0.786 Fibonacci retracement level. It is well known that Fibonacci retracement levels are used in technical analysis to identify potential support and resistance areas.
Current data shows that WIF is trading at $3.32, which is an impressive 69,356% increase from its opening price of $0.00478 on December 15, 2023.
Bluntz Expects SOL to Retrace to $160
In addition to his analysis on WIF, Bluntz also shared his views on the trajectory of Solana’s main network asset SOL, the underlying blockchain platform for WIF. The analyst notes the emergence of a three-wave correction pattern on SOL’s chart, which could potentially lead to a 7% drop from current levels.
Bluntz also stated, “In my opinion, it seems likely that SOL will retract to $160 before moving on to the next phase of the rally.” According to the latest data, SOL has seen a 3.36% increase over the last 24 hours, trading at $176.14.
