Just like the rest of the market, the Solana price had previously hit a roadblock as resistance mounted. This stopped its recovery dead in its tracks before hitting the $180 level, and triggering a downward spiral. However, a crypto analyst has cautioned investors against panicking during this time, explaining that this is the time to be patient.

Wait For More Defined Trends

In a TradingView post, crypto analyst SiDec explained the current situation surrounding the Solana price, warning investors to not be in a hurry to enter into the coin. They points out that at this level, where the Solana price has hit resistance, it presents a lot of risk for those rushing to get into the market.

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As explained, $175-$183 are historical resistance zones for the altcoin, so it is no surprise that investors are choosing these levels to exit after the recent market dump. Additionally, smart money is also looking for liquidity at these levels, and the Solana price is prone to false breakouts due to this development.

When it comes to trading Solana, the crypto analyst explains that investors must wait for one of two things to happen. Either there is a pullback in the Solana price and it falls toward a “confluence-rich support zone” or wait for a clean breakout above the resistance at $183, as well as a retest and confirmation.

With the current trend, the analyst identified the two key zones for the Solana price now. The first lies at $179.85, which was recently tested, and then $180.52, which is yet to be tested. The latter, at $180.52, holds the key as a break above this level would be the confirmation needed for a strong bullish continuation.

Solana Price Completes Elliot Wave Count

Another interesting development for the Solana price that the crypto analyst points out is the fact that the altcoin has completed a 5-wave sequence. The Elliot Wave Theory comes in only five waves and with the completion, it could mean that the bull rally is over for the Solana price. The next thing that could happen from here is that the price continues to correct, before confirmation leads to a bullish continuation.

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The formation of the Fib Speed Fan pattern, as pointed out by the analyst, also suggests that the price could correct further from here. “The 0.618 Fib Speed Fan — drawn from the all-time high at $295.83 to the swing low at $95.26 — aligns perfectly with this resistance zone, adding more weight to the idea of a potential rejection or pause,” the analyst wrote.

Given these developments, the crypto analyst has preferred possible entry points for long ad short positions. For bulls going long, the $165.42-$164.25 level could offer opportunity. While for short traders, the best setup shows a reversal play and entry at $200.

Featured image from Dall.E, Chart from TradingView.com

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Bitcoin has seen a sharp decline over the past few days, dropping below $80,000 again very briefly in the past 24 hours. Although the asset’s price has since recovered and is now trading above $80,000 at the time of writing, there is still lingering selling pressure of another break below this price level again before the end of the week. 

The latest remarks from Arthur Hayes, co-founder of BitMEX, suggest that this pullback is part of a typical bull market correction, and Bitcoin might keep declining until it reaches a bottom around $70,000. 

Arthur Hayes’ Bitcoin Price Outlook: $70K Bottom in Sight?

Bitcoin’s crash from its recent all-time high of $108,780 has been about 30%. Arthur Hayes recently weighed in on the crash, describing it as a typical correction in a bull market. In a recent post on X, Hayes outlined his expectations for Bitcoin’s trajectory, stating that Bitcoin is probably going to extend its corrections in the short term. Particularly, Hayes noted that the BTC price is “likely to bottom around $70K.”

Hayes advised that traders attempting to buy the dip at the current price might experience more downside before the market stabilizes. For investors unwilling to take on more risks, he recommends waiting for central banks to begin easing monetary policies on the crypto industry before buying into BTC. He noted that a crash in the S&P 500 and the Nasdaq-100 would be ideal for loading more BTC.

Furthermore, a combination of stock market turmoil and economic stress leading to intervention from the Federal Reserve, the European Central Bank, the People’s Bank of China, and the Bank of Japan would signal an ideal entry point for accumulating Bitcoin.

The timing of such an event remains uncertain, but Hayes’s strategy suggests waiting for clear signals from central banks before making large-scale investments.

Short-Term Targets: BTC’s Path To $70K Or A Recovery?

Still, several critical price levels must be tested before Bitcoin can reach this price bottom. On March 9, Hayes noted that Bitcoin was on track to retest $78,000, warning that failure to hold that level could result in a move toward $75,000. During that time, BTC started the week with a decline from $85,000 to $81,000. He also pointed out the significant open interest in options contracts between $70,000 and $75,000, which could trigger a volatile reaction if BTC enters that range.

For now, BTC has rebounded slightly, reclaiming the $80,000 mark, but the sentiment regarding buying pressure and selling pressure is currently uncertain. At the time of writing, Bitcoin is trading at $82,725, up by 1.67% in the past 24 hours.

Featured image from iStock, chart from Tradingview.com

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