Bull Market or Another Bearish Trap?

ADA: The 1–2 Chain Before the Explosion! ⚡

ADA’s larger Wave III developed as a classic five-wave impulse. The following major correction can currently be interpreted as a simple Zigzag with a 5-3-5 structure.

The key question now is whether the correction has ended and Cardano is preparing for a major advance.

From an Elliott Wave perspective, the current price action is showing the potential development of an impulsive structure with nested 1–2, 1–2, and possibly another 1–2 formation. If this structure remains valid, it could create the conditions for a powerful higher-degree Third Wave.

However, an impulsive move does not automatically mean a long-term Bull Market. A five-wave structure can also become part of a larger corrective pattern. Therefore, the structure of the following price action is more important than direction alone.

Bullish Scenario:
Nested 1–2 structures remain valid and impulsive development continues, increasing the probability of a powerful bullish expansion.

Bearish Scenario:
The advance develops into overlapping or corrective three-wave structures, suggesting that the larger correction may still be incomplete.

In Elliott Wave analysis, we do not predict direction based only on targets. We follow the structure as price develops.

— Mr. Nobody | Elliott Wave Principle

Cardano
yesterday
ADA: Between the End of Wave IV and the Beginning of Wave V