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Ethereum Classic

Ethereum Classic prices rally following hard fork but Grayscale sales signal trouble ahead

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  • Ethereum Classic price history presents a bullish outlook after its recent Magneto hard fork development.
  • Crypto investment giant Grayscale signals trouble ahead after the months of dumping of its ETC holdings.

Ethereum Classic (ETC) was touted as the second-best gainer in Q2, 2021. At writing time, ETC was trading at $52.91, having hiked roughly 10 percent in the day. The altcoin has been registering gains in 7-days, 14-days, and 30-days charts of 25 percent, 6 percent, and 32 percent respectively. ETC has also increased nearly 700 percent over the year. From a technical point of view, ETC paints a very bullish picture.

After a bullish start to the month,  more buyers are likely to flock to the altcoin.  ETC could register a further uptrend and likely retest a high of $60. However, Grayscale’s recent trend has triggered panic among some holders. Data from the firm reveals that the investment firm has been dumping its ETC holdings.

More on Ethereum Classic outlook

With its development history, many ETC proponents predict more bullish projections for the altcoin. Nevertheless, on-chain metrics seem to suggest the opposite. For instance, the altcoin’s development activity was on a downtrend with levels last seen in January 2021. Prevailing market sentiments are also bearish, according to LunarCrush. Furthermore, the number of active addresses and 24-hours transactions on ETC dipped below May’s levels.

Additionally, the crypto investment giant Grayscale has for the past four months, been dumping its ETC holdings. In the past month, the firm has sold 28,382 ETC, cutting down its holdings from 12.54 million to 12.32 million. Such actions show quite a bearish outlook for ETC.

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Initially, Grayscale supported ETC and even produced an investment thesis projecting ETC’s eight-fold growth to $125.40. ETC achieved and surpassed this mark point, hitting an all-time high of $179.83 during the recent bull run.

ETC  recent upgrade

Recently, Ethereum Classic announced via its Twitter, a successful hard-fork activation. Dubbed “Magneto”, the update was first mentioned on June 11, raising hopes for an ETC resultant price hike. More so, a price uptick was expected as Ethereum’s top developer Vitalik Buterin is a proud validator of ETC.

Activated at block 13,189,133, the hard fork comprised of Ethereum Improvement Proposals (EIPs) in Ethereum’s Berlin upgrade early this year. Magneto’s developers noted that the hash-rate is stable, and majority of the nodes along major service providers are updated. Prominent exchanges, such as Binance, also supported the hard fork.

The upgrade provides the much needed extra network security, cost-efficiency and low energy, among other benefits. Its yields are the result of months of multiple testnet experimentation and optimization.

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Since the announcement of this upgrade on July 24, ETC has rallied 24 percent. While the recent news and bullish prognosis are sensible, things could go left for ETC should the pullback extend below $45.

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Ethereum Classic

Sellers hold the aces in Ethereum Classic’s market, but it might not be game over

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There hasn’t been much interest from retail traders in Ethereum Classic’s market. As a result, low volatility has kept the price restricted within the channel of $53.8 and $60.6 over the past week and a half. However, ETC has been taking shape within a symmetrical triangle. It presented chances of an incoming price swing.

Considering the current market dynamics, sellers can be expected to tip the scales in their favor, but a bullish argument also seems justifiable. At the time of writing, ETC was valued at $57.7, down by a marginal 0.5% over the last 24 hours.

Ethereum Classic 4-hour Chart

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Source: ETC/USD, TradingView

A series of lower highs and higher lows gave rise to a symmetrical triangle on ETC’s 4-hour chart. The pattern was considered bearish in this situation since it took shape right after 7 September’s drawdown. Moreover, sellers would face the easier task of triggering a breakdown from this setup. The daily 20 and 50 Simple Moving Average lines ran bearish as momentum aided the bears.

If the price does break below the lower trendline, a 13% decline would be possible towards the $48-mark. A close under $53.5 would confirm such an outcome.

On the other hand, a few of ETC’s indicators seemed to disagree with such a prediction. If the triangle functions as a reversal pattern, ETC would eye a 7% hike to 8 August’s swing high of $63.4. A close above $59 on relatively stronger volumes would heighten the chances of a bullish prediction.

Reasoning 

A look at ETC’s On Balance Volume painted a rather concerning picture. Based on its recent trajectory, there has been a dearth of buying pressure in the market, with sellers maintaining an advantage. However, a few other indicators seemed to disagree.

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Higher lows were observed on the RSI after it recovered from an overbought reading 10 days ago. The index even managed to climb above 60 recently – A sign that the market was strengthening.

Such a trajectory was also seen on the MACD. The index climbed towards the half-line, although momentum was flat over the past few sessions.

Conclusion

As ETC oscillated within a symmetrical triangle, its indicators flashed mixed signals and a breakout in either direction can be expected at this point. Although chances of a downwards move seemed higher, a bullish outcome cannot be discounted.

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Traders should keep an eye on the aforementioned levels to get a better understanding of where ETC is heading.

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Ethereum Classic

Ethereum Classic Price Setup Looking Bearish, As Dragged Below Major DMA lines.

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tradingview

Ethereum classic price is struggling near its 50 and 100-day moving average line after a massive selloff from the higher side. The crypto asset at the monthly chart fails to hold its major DMA lines of 20, 50 and 100-Day lines, with a near-average volume line. Whereas the coin slipped below major DMA makes its short term trend bearish but still maintaining above 200-DAM lines.

If the coin manages to hold its 50 and 100-DMA lines with positive volume action, we can soon see a good recovery. Support on the lower side is $52.30 and $47.90, whereas resistance on the higher side is $61.20 and $69.90.

Ethereum classic price at the weekly chart is sideways

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Ethereum classic price at the weekly chart is sideways, whereas the technical parameters also project mixed signals. The coin is continuously taking support of the lower support zone, and if the coin manages to hold, we can witness intense buying action. The technical parameters are also favouring sideways motion at the 4-hour time frame with average volume action. Presently, the Ethereum Classic is trading at $57.02 with a flat intraday action of -6.02%, and the volume to market cap ratio is at 0.162 

Relative Strength Index (NEUTRAL): Etherum classic price RSI presently indicates a sideways trend after consolidation over the weekly chart. In contrast, the RSI trades at the neutral zone near the oversold area and now CMP at 36. 

Moving Average Convergence Divergence (MIXED): The daily chart indicates a mixed trend at the 4-hour time frame. At the same time, the buyer’s signal line (green) and the seller’s line (red) overlaps.   

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Support levels: $52.30 and $47.90

Resistance levels:$61.20 and $69.90.

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Ethereum Classic

Ethereum Classic, Solana, Binance Coin Price Analysis: 05 September

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As Bitcoin and Ethereum have consistently remained choppy over the past few days, mixed trading patterns were spotted on certain altcoin movements. A wide number of altcoins were in price consolidation.

Ethereum Classic was trading close to the support level of $67.36,while Binance Coin’s resistance stood at $517.20. Solana, over the last 24 hours, lost momentum and fell by 4.7%. 

Ethereum Classic (ETC)

Ethereum Classic, Solana and Binance Coin Price Analysis: 05 September

ETC/USD, TradingView


Ethereum Classic was in a state of consolidation over the past day. It was trading at $68.60 after noting a decline of 0.6%. At the current level ETC stands notches below its weekly high. The immediate support lay at $67.36 and continued downward movement would drag ETC to $58.09, which is the lowest that Ethereum has traded in about a month. 

Technical charts indicated bearishness in the market. MACD noticed red bars on its histogram, after a bearish crossover. Chaikin Money Flow stood below the half-line for the first time this month, indicating a considerable drop in capital inflows.

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Awesome Oscillator flashed red signal bars affirming the same. In the event of Ethereum Classic breaking consolidation on the upside, it might revisit $75.04. 

In latest news, Ethereum Classic was afflicted by the Geth exploit due to which Ethereum too had suffered a week ago. 

Solana (SOL)

Ethereum Classic, Solana and Binance Coin Price Analysis: 05 September

SOL/USD, TradingView

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Solana declined by 4.7% on its chart over the last 24 hours and was priced at $139.30. The altcoin which secured a fresh all-time high yesterday was seen moving closer to the support line of $125.95. A dip below $125.95 could cause SOL to trade at $99.92, a level the altcoin last touched a week back. 

MACD displayed red bars on its histograms. Awesome Oscillator also noted red signal bars indicating a bearish price move in the market.

Relative Strength Index, however, still remained bullish at 60. An upturn in prices could propel SOL to retest its immediate resistance of $144.54 and then $158.40. 

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As Solana secured a fresh all-time high yesterday, it surpassed Dogecoin’s market capitalization, and stood at the number 7 position on CoinGecko. 

Binance Coin (BNB)

Ethereum Classic, Solana and Binance Coin Price Analysis: 05 September

BNB/USD, TradingView


Binance Coin also recorded a range-bound price movement and rose minorly on its chart. The altcoin was trading at $491.99. Its overhead resistance lay at $517.20. Bollinger Bands remained constricted indicating consolidated price action. The anticipated price range for BNB would be $491.99 and $460.42. 

Green bars on the MACD histogram receded over the past trading sessions. Relative Strength was also nearing the half-line, although, at the time of writing it stood above the 50-mark. 

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In the event of Binance Coin dipping, its first support level stood at $460.42, which also marks its two-week low price. Failing to sustain over the aforementioned price floor, BNB could aim for $433.54.

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