Aerodrome Finance (AERO) Sees 25% Surge but Remains Confined to Ascending Channel

Key Takeaways

• AERO may be completing corrective wave four before the next uptrend.
• Support at $1.13 is key for bullish continuation.
• A drop below $1 reduces the likelihood of a further uptrend.

Aerodrome Finance (AERO) peaked at $2.37 in April, followed by a bearish cycle and corrective patterns that established key support and resistance levels.

Recent price movements suggest AERO may be approaching the final wave in its current structure, with potential for another upward push if support holds.

AERO Price Analysis 

The price of AERO reached an all-time high of $2.37 on April 12, concluding the five-wave pattern from the February low of $0.073.

From there, it was in a bear cycle until July 4, when it came to a low of $0.40. The first uptrend developed after an ABC correction to a high of $1 on July 19, and its subsequent decline retested the $0.50 area. 

Support was present at those levels, causing the next uptrend to a higher high of $1.50 on Oct. 14. AERO fell by 30%, retracing to $1 on Oct. 25, after which the price made a 25% upward spike to a high of $1.33.

From Sept. 29, the momentum slowed down, with its next high potentially being part of the corrective structure inside the ascending channel. According to our count, AERO could be in the corrective wave four before another and the final upward advancement. 

But is the recent spike an early sign of this next advancement, or is it still part of the corrective structure? 

AERO Price Prediction 

Zooming into the hourly chart, we can see that the wave structure from Sept. 29 could be an ABC correction, which is an irregular flat.

The uptrend since Oct. 25 shows a five-wave pattern, which indicates impulsiveness. 

A reversal is now expected, and we will receive further validation. If the price of AERO finds support above the 0.618 Fib retracement of $1.13, the next upturn could lead to higher prices. 

Alternatively, the price could move sideways inside the ascending channel and continue the corrective count for two more waves, coming to an ABCDE correction.

Should the price continue moving to the downside below $1, a continuation of the uptrend would be highly unlikely.