🔎 #AR Analysis

The price also consolidated at the lows and formed a pattern of three descending movements, which worked out a little late. After the figure, the price went down at the $5 support. I would like to note that the volumes began to appear after the pattern and after the breakdown, which signaled an imminent upward movement, which was not long in coming. The price formed the first wave of an upward five-wave cycle according to the Elliott📈 theory, which ended at $16.526.
The corrective second wave turned out to be quite short, did not go below the base of wave I, that is, it maintained the upward structure of the cycle. In turn, wave III turned out to be quite a rage wave on an imbalanced volume. The price maintained its upward direction even after the BTC correction. This fact confirms the strength of the momentum. A rage candlestick can be the final one in wave III, but it is better to see a clearer end to the wave.
On the local timeframe, there are signs of a local weakening of the trend. The ADX indicator confirms this, as the bearish moving average has crossed the bullish one, and the trend is moving in their direction in a downward direction. A bearish crossover has occurred on the MACD indicator, which confirms the likelihood of another corrective movement within wave IV. It is important that the price does not go significantly below $15 in order to maintain the upward structure of the cycle. If the price falls below the high of wave I, the upward five-wave cycle will cease to be relevant.
Both timeframes do not contradict each other. They confirm the structure of the development of the upward cycle. It is necessary for the price to fulfill the conditions for the correct formation of wave IV. There is also a possibility of continued growth from the current ones. In this case, the low of wave IV will be $21.935. A potential target for wave V is the $42 level in line with the Fibonacci trend extension.
For BTC, as expected, there was a corrective movement. Most likely, there is now a redistribution of profit among alts with an ascending structure. Since the coin has drawn good momentum, it may generate interest among traders. The inflow of funds will have a positive effect on the development of the upward cycle, and the price will continue to rise. However, there is still a possibility of a similar movement for the first cryptocurrency, which will be an additional test of the cycle's strength.