Peter Smith
⬤ Cardano is trading around $0.51 as traders watch a developing Elliott Wave structure that could define its next major move. The chart suggests ADA may be nearing the end of wave (2)—a key corrective phase—which means the asset is either wrapping up or close to finishing an important downward cycle before potentially reversing higher.
⬤ The main scenario assumes Cardano is still working through a broader ABC correction that started after its last cycle peak. If that's the case, ADA might drop to a lower low before confirming the start of a new uptrend. The price action so far—lower highs and consolidation—lines up with this extended corrective view.
⬤ The alternate scenario paints a much more bullish picture. It suggests Cardano may have already hit or is very close to hitting a wave (2) bottom. The idea of "nesting 1s and 2s" points to early signs of a new impulsive wave forming—potentially setting the stage for a wave (3) rally that could push ADA toward new all-time highs if it plays out.
⬤ The coming price action will be critical in deciding which path Cardano takes. Whether ADA stays stuck in correction mode or launches into a powerful bullish phase could shape sentiment around the asset for months—or even years—to come.
Peter Smith
