Key Takeaways
On Sept.6, Catizen (CATI) began its upward trend, increasing 160% to a peak of $0.846. Since then, the price has experienced significant surges and pullbacks, forming potential wave patterns within an ascending channel.
Recently, CATI reached an all-time high before a subsequent downtrend led to a consolidation phase.
Current indicators suggest the price is at a pivotal point, with the potential for either continued decline or the start of a new bull run.
On Sept. 6, CATI began an uptrend, starting at $0.33. The price saw a significant increase of 160%, reaching a peak of $0.846. Following this, a downturn occurred, with the price dropping to $0.66 on Sept. 16 before bouncing back to a high of $0.77.
Since its market launch, CATI has been trading within an ascending channel, suggesting the formation of a potential five-wave pattern.
This projection came true, as the following dip to the 0.382 Fibonacci retracement level caused a parabolic upturn to another higher high.
Wave five unfolded as expected, with its projected target aligning with some of the Fibonacci extension levels, coinciding with the ascending channel’s resistance.
On Sept. 20, CATI reached an all-time high of $1.14 and concluded its five-wave pattern. As it did so, a downtrend started, likely its first correction after the runup. It landed on the 0.786 Fibonacci retracement at $0.43 on Oct. 2 and moved sideways until Oct. 4.
A new uptrend led the price to a breakout above the descending resistance, potentially signaling the start of a new bull phase.
Zooming into the hourly chart and looking at the wave structure, we can see that the rise from Oct. 2 didn’t develop a five-wave pattern but ended on a three-wave move before making a breakout below the ascending channel.
It is traded at the 0.618 Fib, a pivot point between two scenarios. Either CATI continues its downward trajectory from here as the rise was corrective or makes a bounce as a new bull phase begins.
It is more likely to continue moving down as the price retests its previous support of $0.44.
After it establishes support and potentially proceeds to consolidate, can we see a decisive bull phase starting?