- Ethereum Classic price is currently making stair-stepping price action in the mid-$20 range.
- ETC shows a 1-2-1-2 pattern forming, which could result in an explosive move toward $27.
- The uptrend potential would be reduced through a breach of the $19.41 swing low.
Ethereum Cassic price is consolidating before what appears to be the next move up. Risk management should be considered moving forward, as the ETC price will likely witness an influx of volatility.
Ethereum Classic price is poised for gains
Ethereum Classic price has been making steady gains, producing stair-stepping price action in the mid-$20 zone. The current trend is forming a ramping 1-2-1-2 pattern, as ETC established a new high at $2495 before bears suppressed the price again. Cryptocurrencies have been notorious for displaying this back-and-forth price action before explosive slingshot rallies occur.
Ethereum Classic price currently auctions at $22.43. The strongest candle in the current uptrend since January 1 has yet to be retraced. The 8-day exponential moving average and 21-day simple moving average are dually in support of the stair-stepping price action. Considering these factors, the ETC price may be able to challenge liquidity levels from November's liquidation event. The bullish scenario creates the potential for a 20% incline as the bulls push the price toward the $27.23 swing high established on November 6.
However, the one caveat to the overall bullish technicals is that the Relative Strength Index has yet to break into overall positive conditions on the 3-day chart. Other digital assets like the Ocean Protocol token have already achieved a crucial factor for growth, which could draw more interest and potentially decrease demand for Ethereum Classic.. Still, the 1-2-1-2 pattern is an optimistic gesture as the pattern commonly forms near crucial resistance levels. Traders should continue to manage their risk accordingly as they attempt to catch the next volatile move.
ETC/USDT 3-Day Chart
Invalidation of the uptrend would occur from a breach below the consolidation swing point at $19.41. If this were to occur, the bears could forge a decline into the halfway mark of the largest thrust candle's body near $17.80, causing a 20% decline for ETC.
This video details how Bitcoin price moves could affect Ethereum Classic price
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Polygon joins forces with WSPN to expand stablecoin adoption
WSPN, a stablecoin infrastructure company based in Singapore, has teamed up with Polygon Labs to make its stablecoin, WUSD, more useful in payment and decentralized finance.
Coinbase envisages listing of more meme coins amid regulatory optimism
Donald Trump's expected return to the White House creates excitement in the cryptocurrency sector, especially at Coinbase, the largest US-based crypto exchange. The platform is optimistic that the new administration will focus on regulatory clarity, which could lead to more token listings, including popular meme coins.
Cardano's ADA leaps to 2.5-year high of 90 cents as whale holdings exceed $12B
As Bitcoin (BTC) gets closer to the $100,000 mark for the first time — it crossed $99,000 earlier Friday — capital is rotating into alternative cryptocurrencies, creating a buzz in the broader crypto market.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: Rally expected to continue as BTC nears $100K
Bitcoin (BTC) reached a new all-time high of $99,419, just inches away from the $100K milestone and has rallied over 9% so far this week. This bullish momentum was supported by the rising Bitcoin spot Exchange Traded Funds (ETF), which accounted for over $2.8 billion inflow until Thursday. BlackRock and Grayscale’s recent launch of the Bitcoin ETF options also fueled the rally this week.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.