An analysis engine is described for performing static analysis using CEGAR loop functionality, using a combination of forward and backward validation-phase trace analyses. The analysis engine includes a number of features. For example: (1) the analysis engine can operate on blocks of program statements of different adjustable sizes; (2) the analysis engine can identify a subtrace of the trace and perform analysis on that subtrace (rather than the full trace); (3) the analysis engine can form a pyramid of state conditions and extract predicates based on the pyramid and/or from auxiliary source(s); (4) the analysis engine can generate predicates using an increasingly-aggressive series of available discovery techniques; (5) the analysis engine can selectively concretize procedure calls associated with the trace on an as-needed basis and perform other refinements; and (6) the analysis engine can add additional verification targets in the course of its analysis, etc.