Is Ethereum’s Rally Around the Corner?

The Correction Is Close To Complete

Last week, see here, I showed by using my short-term Elliott Wave Principle (EWP) count (based on a daily-resolution chart) that

“The Bulls are on full watch on a move below $1490 as that will negate a Bullish setup from the late August $1422 lows. Of course, below that low, we can set our sights on $1320-1150 for a rather typical/classic 61.80-76.40% retrace of (red) W-i/a to complete W-ii/b. And so far, the price action since the mid-August high is still corrective. That means the next rally, W-iii/c to ideally $3500, will get underway once the correction is over.”

The Bears did not disappoint, and Ethereum (ETH) reached as low as $1282 today. See figure 1 below. The grey arrows are the path I shared last week with my premium crypto trading members to ensure they would stay as well-informed as possible of ETH’s price action. So far, ETH has followed this path to the T.

Figure 1. Ethereum daily chart with detailed EWP count and technical indicators.

Ethereum Reached $1200+/-100 and Could Rally Soon

Considering Saturday’s price action, there are technically enough waves to view the current leg lower from the (green) W-b high complete. However, and ideally, I would like to see a more pronounced (grey) W-iv and v. Thus, for as long as ETH’s price remains below the (grey) W-i low ($1555), this path should fill in. W-iv should top around $1460+/-30, and W-v should ideally be about $1150-1225. From there, W-iii/c to ideally $3500 should start.

But a rally directly above that $1555 level means (green) W-c of (red) W-ii/b most likely already completed. If that happens, I will set my eyes on the W-iii/c to ~$3500. Thus, either way, there’s nothing in the charts yet to tell me the rally to $3500 will not materialize. It is for now still a matter of “pay me now” vs. “pay me a little bit later.”