KAVA uptrend 20261. Technical Overview:
The chart follows the Elliott Wave pattern. It appears that a large ABC corrective wave has completed, and a new 5-wave impulse cycle (1-2-3-4-5) is starting.
Price has likely bottomed around the $0.5 zone and is showing strong signs of reversal, breaking out from a long accumulation phase that lasted over a year.
Current price is slightly breaking out from the previous lows with significant volume increase, signaling institutional or large player interest.
2. Indicators:
RSI (14): hovering around 55, above the neutral 50 level, suggesting growing bullish momentum.
MACD: bullish crossover and widening, confirming a medium-term uptrend.
3. Key Price Levels:
Strong support: $0.45 - $0.5 (long-term bottom zone).
Short-term resistance: $1.0 - $1.2.
Major resistances:
$2.0 (23.6% Fibonacci retracement)
$3.5 - $4.0 (50% Fibonacci)
$7.0 - $9.0 (historical highs and 1.618 Fibonacci extension)
4. Elliott Wave Scenario:
The chart suggests KAVA might follow a 5-wave bullish cycle:
Wave (1): from $0.5 up to around $2.0.
Wave (2) correction: potentially retracing to $1.0 - $1.2.
Wave (3): targeting $5.0 - $6.0.
Wave (5): could reach $9.0+ in a favorable macro/crypto bull market.
5. Long-Term Investment Strategy:
2025 - 2026 Period:
Accumulation Zone: $0.5 - $0.6 (breakout from long-term bottom).
Add on Breakout: consider adding more if price breaks above $1.0 with strong volume, targeting $1.2 - $1.5.
Profit-Taking Levels:
Take 20-30% profit around $2.0.
Take another 20-30% profit around $4.0 - $5.0.
Hold the rest for a potential wave (5) target at $7.0 - $9.0.
Stop-Loss:
Exit if the weekly close falls below $0.45 - $0.5, which would invalidate the bullish wave structure.
6. Notes:
This is a weekly timeframe strategy, suitable for long-term investors (6 months to 2 years horizon).
Track Bitcoin and altcoin market capitalization closely to sync KAVA's wave structure with the broader crypto market.
Wave (2) might require patience as corrective waves often cause shakeouts.
