Phala Network | TA Theory & Fib. TargetsHello my dear supporter, I would like to thank you for choosing to read what I have to share. I promise to give you engaging content, entertaining and enlightening. You will learn something new with each and every single trade-idea or, in the least, you will be entertained.
Phala Network (PHAUSDT) produced a long consolidation phase in 2023, last year. The blue channels depicted on the chart (left side). This consolidation phase lasted 238 days.
The bullish wave that followed was relatively small in terms of the cryptocurrency market. Such a long consolidation phase would normally yield a stronger bullish wave. You cannot find this in books nor anywhere, this is 100% experienced based information.
The fact that the consolidation phase was long in duration, the bullish wave relatively short and the correction strong yet ending in a higher low (early August), can tell us that a new bullish wave can develop without much (new) consolidation.
This is my theory based on technical analysis. Follow my thinking; it is like the strength generated by the previous consolidation phase wasn't fully used, therefore, little consolidation is needed for a new and strong wave.
We have really high buy volume in June, again, a higher low in August while this date produced the strongest crash of the year marketwide, signaling that sellers on this pair are no longer active.
It is likely that this pair can grow. The signals are good and leaning toward the strong side.
On a drop, support can be found at the last low and if a drop does happen, a recovery can be quick because the correction hit almost 100% of the previous bullish wave.
When we consider that the correction removed all gains, we can count the entire period from June 2023 through present day as the consolidation phase. That would be more than 430 days of strengthening action; the bullish jump earlier this year is just the whales buying, in anticipation of the 2025 bull-market.
The targets can be seen on the chart.
I love you.
Namaste.
