SOLANA Elliott Wave Analysis: Impulse or Deeper Correction?SolanaCRYPTO:SOLUSDMehdi_Abbasi_EWPSOLANA Daily Analysis | Nested 1–2 Structure or a Deeper Correction? From an aggressive perspective, Solana’s current structure may be developing within a nested 1–2, followed by another 1–2 setup. Under this scenario, after completing Wave (II), the market may have formed two early impulsive phases, potentially preparing the larger structure for the next bullish expansion. At the moment, a simple Zigzag appears to have developed. Therefore, simply seeing an upward move is not enough to confirm a bullish market. What matters is the emergence of a valid impulsive structure. If the market begins another impulsive move, the peak of Wave B should be broken. After that, we would expect a corrective structure relative to the new advance. That would be the first meaningful green light for the bullish scenario. However, the impulsive move must actually have an impulsive character. It could develop as: A Classic Impulse A Nested 1–2 Structure Or a Leading Diagonal So, the main focus is not simply on whether price rises. The real focus is on the structure price creates during that advance. Conservative Scenario The conservative scenario still allows for a deeper corrective development. Within the current area, different corrective structures may still be acceptable in terms of time, depth, and increasing complexity. Therefore, the market may continue developing a more complex correction before making another decline. That decline could be similar in character to Wave (II)—a Sharp correction that completes the larger corrective structure before the next major move begins. Educational Point: The Wave (II) Structure The most important educational point of this analysis is the structure of Wave (II). In this section of the chart, a five-wave decline developed with several characteristics of an impulsive structure. The three core Elliott Wave rules were respected: Wave 3 is not the shortest among Waves 1, 3, and 5. Wave 4 does not enter the price territory of Wave 1. In addition to the core rules, there is also a clear sense of alternation between Waves 2 and 4. This is one of the observations and research findings from our work—Rana and I—after studying similar structures across different markets. Sometimes the market creates a structure that, based on its internal rules and characteristics, closely resembles an Impulse Pattern, while many Elliott Wave analysts are still expecting a three-wave correction or an even more complex corrective pattern. But the market is not obligated to move according to analysts’ expectations. A similar structure developed earlier in this market. At the time, it could have created confusion because many analysts were looking for a corrective interpretation. However, the market eventually surprised them and began a strong advance. For that reason, I will also include the earlier analysis below so you can compare that structure with the current market behavior. Conclusion For now, both scenarios should remain under observation. The aggressive scenario requires the development of a valid impulsive move and a break above the peak of Wave B. After that, the formation of a corrective structure relative to the new advance would strengthen the bullish case. On the other hand, until such a structure becomes clear, the conservative scenario remains valid. The correction may continue becoming more complex before the market makes another decline. Ultimately, it is the structure price develops that will determine which scenario is correct—not simply the short-term direction of price. Mehdi Abbasi | Mr. Nobody Elliott Wave Principle Elliott Wave Structure • Rules • Evidence • Scenario Analysis Solana Jan 16, 2024 Bullish market in Solana