Looking at the NEO/USD hourly chart we can see that the price action is once again on the minor range support after getting rejected by the descending channels resistance line.
This time as the triangle pattern looks completed it looks like we can see a breakout on the downside to the $9.83 which was the projected level for the 5 wave.
Zooming out to the 3h chart you can see my Elliott Wave labelings. As you can see after the last impulsive exponential move to the all-time high around $182 a complex correction occurred. The first descending wedge consists of two corrections one being a Zigzag WXY followed by another WXY in the opposite direction which would be waves W and X of the higher degree count. From the second wedge, things get more complicated.
The second wedge also consists of two correction structures of a minor degree which form another intermediate WXY and with the third expanding diagonal which has a minor correction in the opposite direction and the five-wave move to the downside are two more corrective waves which is why I have labeled this whole correction from the orange Y wave of the opposite direction till the end as a WXYXZ. On the primary degree, this is a WXY that is constituted by a WXY
Zigzag-WXY connector-complex WXYXZ. This is known as a double three.
I have projected the target for the end of the wave Y of the primary count to the next horizontal support level I see strong enough to hold and its at around $9.7
Zooming out to the daily chart we can see that the chart pattern is that of a classic bubble with the tendency for the price to get back below the mean line.
As you can see from the chart the price has already retested the support at $15.24 from which the all-time high was made and the selling pressure indicated by the steepness of the wedge resistance line looks strong enough to break it and when it does the next level around $9. There isn’t anything significant in between.
That would result in a 95% retracement from the all-time high which already happened for some of the other smaller cap cryptos. As there aren’t any bullish indication the question is whether that would be the bottom and the end of the correction. The primary count WXY could also get prolonged by two more waves which would then mean a lower low for which the next horizontal level I see fit is at $3.84.