Let’s continue analyze altcoins. Today I found for you the asset with the perfect Elliott waves formation. I will show you evidences that this formation is valid, thus we can be confident in potential trade setup.
On the 4h timeframe DYDXUSDT chart we can see the clear picture of 5-wave Elliott formation. Wave 1 had the price correction exactly to 0.61 Fibonacci retracement zone, after that the wave 3 was extended and was finished at 2.61 Fibonacci extension. Taking into account wave 2 have been ended at 0.61, wave 4 have to be finished at 0.38, that was the case. Wave 5 finished at 0.61 Fibonacci extension in conjunction with the divergence created the condition for whole Elliott wave cycle end.
Now DYDX is in correction ABC. Wave A have been already ended and wave B is forming. 0.61 Fibonacci retracement is the target for the wave B ($1.50). After that we can wait for the wave C. The target area for wave C and whole ABC correction is the 0.618 from the 5-waves cycle. I am going to enter long position at $1.35.
Best regards, Ivan