- Ethereum Classic quickly erases gains to $33.84 as turbulence hits the crypto market.
- ETC’s bearish correction would be a blessing in disguise if a fresh FOMO wave influenced new buy entries.
- Ethereum Classic price eyes a 48.88% move following the formation of a double-bottom pattern.
Ethereum Classic price is retesting support at $33.84 after the cryptocurrency market generally flipped bearish on Friday. Before the losses, ETC had more than tripled in value to trade at a five-month high of $45.77.
Over the last five weeks, Ethereum Classic price responded positively to the hype surrounding the upcoming Ethereum (ETH) Merge. As the largest smart contracts platform awaits rebirth on the all-new proof-of-stake (PoS) consensus, Ethereum Classic price is making strides toward new yearly highs.
Will FOMO keep propelling Ethereum Classic price higher?
Ethereum Classic price is receiving much attention from investors (speculators) and miners. The latter group is preparing for the Merge – set to render their equipment useless within the Ethereum (ETH) ecosystem. On the other hand, the Ethereum Classic proof-of-work (PoW) blockchain is being flaunted as the best go-to platform for miners wishing to continue their activities.
However, the move remains uncertain amid calls for a hard fork on Ethereum – to allow its PoW protocol to exit after the transition. Several cryptocurrency exchanges have expressed support for the PoW Ethereum if developers and users warm up to the idea.
For now, Ethereum Classic price is more concerned about reversing the uptrend north from support at $33.88. The 200-day Simple Moving Average (SMA) reinforces this buyer congestion area, elevating ETC to $34.86 at the time of writing.
ETC/USD four-hour chart
From a technical vantage point, Ethereum Classic price is poised to make a successful return beyond the crucial resistance at $40.00. This move will advance 44.88% from the current support at $33.88 if a double-bottom pattern formed on the same four-hour chart confirms.
Traders should watch ETC’s approach to the neckline to gauge whether they should settle for early profits or firmly hold till $55.30. The oversold position of the Stochastic RSI implies that a bullish reversal is around the corner.
Nevertheless, investors should wait for Ethereum Classic price to close the day above the 200-day SMA before going all-in for the imminent uptrend. Trading below the moving average, ETC could explore downstream levels around $24.00 and $14.00.
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: New all-time high at $78,900 looks feasible
Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.
XRP fails to recover even as Ripple files appeal in response to SEC's move
Ripple price has been range bound between $0.5666 and $0.5068 since October 3. Over the past 20 days, XRP has traded within the range even as the SEC vs. Ripple lawsuit sees new developments.
Ethereum Price Forecast: ETH declines below $2,500 as demand fades
Ethereum price is nearing its daily support level of $2,461; a firm close below this level would suggest a decline ahead. Coinbase Premium Index shows signs of weakness and remains below neutral levels.
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC shows signs of recovery
Bitcoin has found support at the key $66,000 level, suggesting a potential recovery. However, Ethereum and Ripple prices are struggling below their critical support levels, indicating a possible continuation of their downtrends.
Bitcoin: New all-time high at $78,900 looks feasible
Bitcoin (BTC) trades slightly down at around $67,500 on Friday after finding support around the $66,000 level on Wednesday, following three consecutive days of decline earlier in the 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.