A True Flush. Cardano In Elliott Wave Terms
2025-02-06
Category: None

Cardano's correction exceeds 60%. This pair went through a really major flush, yet, we still have a very strong higher low.

A major crash such as we witnessed just now is not all bad news. Actually, this is great news because a new opportunity develops for all those that missed the train.

Cardano peaked the 3rd of December 2024, more than two months ago.
The bigger part of the correction is over, what is left now is only a short period of consolidation before a new phase of growth. We have a higher low and thus a higher high next.

The previous peak happened at 1.32, the next one can go beyond 8 if we consider the long-term.
Short-term targets can be found on the chart.

The correction wick low challenged the 0.786 Fib. retracement level but closed above 0.618. This is good.

➖ Elliott Wave

The correction developed as a classic ABC (Wave 2 of a higher degree). Preceded by a 5 up-wave pattern (Wave 1 of a higher degree).
What follows an ABC correction is a new bullish impulse. A new bullish impulse means five waves up.

This five waves up would be equal to wave 3 of a higher degree. Which means that after the next bullish jump we get another correction (Wave 4) followed by one final jump, the fifth wave. This fifth will also develop as a 1-2-3-4-5 pattern.

Thank you for reading.

Namaste.