Coinbase Global (NASDAQ: COIN) experienced a 43% decline in value over the past three months. The stock shows a five-wave advance followed by a three-wave ZigZag correction.
Initially, COIN rose from a September 2024 low of $146 to $352 in December 2024. It is now undergoing a corrective pullback targeting $201 to $132, suggesting the decline may soon conclude.
Potential Rebound Scenario
As the stock is expected to rebound, it could reach the $260 mark, indicating a potential 30% increase. A continued rally could push prices toward $300, representing a 50% gain from current levels.
Looking at recent movements, it’s evident that the stock has been through a structured five-wave rise, followed by a correction that aligns with classic market behaviour. This suggests that what we are seeing now is likely not the start of a prolonged downtrend but rather a necessary retracement before further upside potential.
From its September low, the price more than doubled in just three months, which was a rapid climb. That kind of swift movement often leads to corrections, especially when momentum slows. Now that it has pulled back, attention turns to whether this correction is reaching exhaustion. The targeted zone of $201 to $132 gives a range where buyers may start stepping in again. If the price stabilises around this area, that would reinforce the idea that the decline was merely a pause before the next move higher.
Short Term Trading Considerations
If this expected rebound plays out, we would be looking at an initial recovery toward $260. That would wipe away a good portion of the recent losses. Beyond that, if buying pressure persists and broader market conditions are supportive, prices could push toward $300. That would mark a complete recovery from the pullback and reinforce the idea that the overall trend is still pointing higher.
For those focused on trading shorter-term movements, it’s important to assess whether the current decline is indeed nearing its end. Watching volume changes and reaction near the mentioned price levels could provide clarity on when momentum starts shifting back in favour of buyers.
