Coinbase (COIN) Enters Bullish Rally: Elliott Wave Analysis Points to Further Upside

After completing wave II, Coinbase begins a powerful bullish impulse in wave III, with strong momentum and higher targets ahead.

Coinbase Global, Inc. (NASDAQ: COIN) is currently showing strong bullish momentum as the stock advances in a new impulsive sequence. The daily Elliott Wave chart suggests that COIN has likely completed a significant corrective wave II and is now advancing within wave (3) of a larger degree impulse III. This setup supports the possibility of further upside in the coming months.

After bottoming in early 2023, COIN began a multi-wave rally which unfolded as wave I. A corrective pullback in wave II followed, respecting the Fibonacci support region and maintaining a bullish structure. This correction ended above the key invalidation level of $143.14. The move from there has been sharp and impulsive, supporting the idea that wave III is now underway.

Currently, wave (3) is progressing, and the chart suggests that wave (4) may develop next as a shallow correction before the stock pushes higher in wave (5). The "Right Side" tag is clearly marked on the chart, indicating the preferred direction is to the upside. In addition, the message “We Do Not Recommend Selling” warns traders not to fight the trend.

The price action respects Elliott Wave rules, with clean subdivision and momentum confirmation. As long as COIN holds above the invalidation level at $143.14, the bullish outlook remains firmly in place.

Conclusion:

In conclusion, Coinbase looks poised to continue higher as it advances through wave (3) of a new bullish cycle. The trend remains strong, and dips should present buying opportunities. Long-term investors and active traders may consider favouring the long side, especially while the structure holds above the key support.

Source: https://elliottwave-forecast.c...