- Ethereum Classic jumped up to $62.67 on Wednesday before starting to fade.
- The profit-taking is being seen in all major cryptocurrencies as well.
- On the downside, we have a few supports that will keep ETC around $46.
Ethereum Classic price dipped lower today and looks to fade after the uptrend that lasted five consecutive days, reaching a high of $62.67 on Wednesday.
Ethereum Classic price has a bandwidth of 25%
Ethereum Classic's steep climb in May was maybe just a bit too violent and deserved a correction after many indicators pointed to an overbought condition. The fade ETC saw in May and June made it test twice the support at $32.90.
ETC recovered and was able to get out of a bearish pattern with a break to the upside of the descending trendline on June 29.
Ethereum Classic price has proven that it still has the potential to go higher. However, it recently saw a rejection of the $62 level, which might show that further upside is limited. A target of $68 would be excellent, but we see profit-taking today in all major cryptocurrencies. Hence, the upside looks limited for the rest of the week.
The general sentiment should nonetheless help. It is a bit contradictory that we do not see this translated to ETC catching a bid and going for the $68 price target. With the 55-day Simple Moving Average (SMA) and a nearby 23.8% Fibonacci level, this looks like a solid resistance level. It should be tempting for buyers to run the price up toward that level.
On the downside, the break of the descending trend line exposed a short-term floor around $46. Ethereum Classic price shot through this resistance and has not come back since. Sellers will look to target this level for profit-taking on their shorts.
ETC/USD daily chart
To summarize, we see in ETC both buyers and sellers awaiting a break, either way, to jump on the opportunity. This will keep Ethereum Classic price within the bandwidth between $62 to the upside and $46 to the downside. Should we break either boundary, look for $68 with the Fibonacci level and the 55-day SMA as guardians for the resistance.
On the flip side, if the $62 level breaks, we can see a retest of the $32.90 level, with the 200-day SMA and the double bottom as support.
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
Bitcoin Weekly Forecast: BTC nosedives below $95,000 as spot ETFs record highest daily outflow since launch
Bitcoin price continues to edge down, trading below $95,000 on Friday after declining more than 9% this week. Bitcoin US spot ETFs recorded the highest single-day outflow on Thursday since their launch in January.
Bitcoin crashes to $96,000, altcoins bleed: Top trades for sidelined buyers
Bitcoin (BTC) slipped under the $100,000 milestone and touched the $96,000 level briefly on Friday, a sharp decline that has also hit hard prices of other altcoins and particularly meme coins.
Solana Price Forecast: SOL’s technical outlook and on-chain metrics hint at a double-digit correction
Solana (SOL) price trades in red below $194 on Friday after declining more than 13% this week. The recent downturn has led to $38 million in total liquidations, with over $33 million coming from long positions.
SEC approves Hashdex and Franklin Templeton's combined Bitcoin and Ethereum crypto index ETFs
The SEC approved Hashdex's proposal for a crypto index ETF. The ETF currently features Bitcoin and Ethereum, with possible additions in the future. The agency also approved Franklin Templeton's amendment to its Cboe BZX for a crypto index ETF.
Bitcoin: 2025 outlook brightens on expectations of US pro-crypto policy
Bitcoin price has surged more than 140% in 2024, reaching the $100K milestone in early December. The rally was driven by the launch of Bitcoin Spot ETFs in January and the reduced supply following the fourth halving event in April.
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.