📌 TAO/USDT Elliott Wave & Fibonacci Analysis: A Deep Dive 🚀
🔹 Market Structure Overview
The TAO/USDT chart exhibits two potential Elliott Wave scenarios:
A completed Wave 2 correction leading into an impulsive Wave 3.
An ongoing ABC corrective pattern before a bullish move.
Using Fibonacci retracements, extensions, volume trends, and momentum indicators (MACD, RSI), we can refine both scenarios.
🔹 Scenario 1: Impulsive Wave 3 Towards $1,532.5+
Wave 3 Expansion & Fibonacci Levels
The price has retested 0.786 Fib support ($226.3), a historically strong level for a wave reversal.
Wave 3's minimum projected target is $1,532.5 (1.236 Fibonacci extension).
If momentum builds, the 1.618 extension ($2,729.5) could be reached, aligning with strong historical price expansions.
Market Behavior & Momentum
MACD Analysis: A bullish crossover in the MACD histogram would confirm momentum shifting toward an impulsive move.
RSI Trends: RSI stabilizing above 50 would indicate growing buyer strength, supporting the bullish outlook.
Volume Dynamics: Increasing volume at key support levels suggests institutional accumulation.
📌 Confirmation Zone for Wave 3:
A sustained breakout above $740 (recent high) would confirm the beginning of Wave 3.
🔻 Scenario 2: ABC Correction Before Reversal
Potential for a Deeper C-Wave Drop
Instead of an immediate breakout, the market may still be completing an ABC correction.
Wave C targets:
100% Fibonacci Extension: $160.6
1.236 Fibonacci Extension: $111.9
Potential Max Extension: $89.5 (1.382 Fib)
Indicators Supporting a Further Decline
MACD remains bearish, suggesting downside continuation before a reversal.
RSI is not yet at oversold levels, meaning further weakness is possible.
Volume profile shows a lack of aggressive buying, indicating sellers still have control.
📌 Key Reversal Zone for the Next Bullish Cycle:
If the price drops to the $160.6-$111.9 range, a strong bounce could follow, leading into the next impulsive wave.
📌 Conclusion
If $226.3 holds, it strengthens the case for an impulsive Wave 3 move towards $1,532.5+.
If support fails, a final correction to $160.6 or even $111.9 is expected before a strong upside reversal.
Volume and momentum indicators will be crucial in confirming the next major move.
This analysis provides a structured view of potential Elliott Wave formations and Fibonacci-based price levels, giving clear insights into TAO/USDT’s possible market direction.
🔹 Market Structure Overview
The TAO/USDT chart exhibits two potential Elliott Wave scenarios:
A completed Wave 2 correction leading into an impulsive Wave 3.
An ongoing ABC corrective pattern before a bullish move.
Using Fibonacci retracements, extensions, volume trends, and momentum indicators (MACD, RSI), we can refine both scenarios.
🔹 Scenario 1: Impulsive Wave 3 Towards $1,532.5+
Wave 3 Expansion & Fibonacci Levels
The price has retested 0.786 Fib support ($226.3), a historically strong level for a wave reversal.
Wave 3's minimum projected target is $1,532.5 (1.236 Fibonacci extension).
If momentum builds, the 1.618 extension ($2,729.5) could be reached, aligning with strong historical price expansions.
Market Behavior & Momentum
MACD Analysis: A bullish crossover in the MACD histogram would confirm momentum shifting toward an impulsive move.
RSI Trends: RSI stabilizing above 50 would indicate growing buyer strength, supporting the bullish outlook.
Volume Dynamics: Increasing volume at key support levels suggests institutional accumulation.
📌 Confirmation Zone for Wave 3:
A sustained breakout above $740 (recent high) would confirm the beginning of Wave 3.
🔻 Scenario 2: ABC Correction Before Reversal
Potential for a Deeper C-Wave Drop
Instead of an immediate breakout, the market may still be completing an ABC correction.
Wave C targets:
100% Fibonacci Extension: $160.6
1.236 Fibonacci Extension: $111.9
Potential Max Extension: $89.5 (1.382 Fib)
Indicators Supporting a Further Decline
MACD remains bearish, suggesting downside continuation before a reversal.
RSI is not yet at oversold levels, meaning further weakness is possible.
Volume profile shows a lack of aggressive buying, indicating sellers still have control.
📌 Key Reversal Zone for the Next Bullish Cycle:
If the price drops to the $160.6-$111.9 range, a strong bounce could follow, leading into the next impulsive wave.
📌 Conclusion
If $226.3 holds, it strengthens the case for an impulsive Wave 3 move towards $1,532.5+.
If support fails, a final correction to $160.6 or even $111.9 is expected before a strong upside reversal.
Volume and momentum indicators will be crucial in confirming the next major move.
This analysis provides a structured view of potential Elliott Wave formations and Fibonacci-based price levels, giving clear insights into TAO/USDT’s possible market direction.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.