Ethereum Classic [ETC] Price Analysis: Is 32% Gain Beginning of a Bullish Reversal?


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Ethereum Classic [ETC] Price Analysis: Is 32% Gain Beginning of a Bullish Reversal?

ETC has gained 32% since 18th December 2019 from yearly lows at $3.4. The rise w.r.t. to Bitcoin [BTC] is about 25%. The increase in the price over the past weeks has also boosted the total hash rate of the network.

ETC is trading 10% higher on a daily scale, with a price of $4.57.

It is currently facing resistance for the 100-EMA line at $4.6. While the first line of support will be at the 50-Day EMA at $4.16.

etcusd
ETC/USD 1-Day Chart on Kraken (TradingView)

Nevertheless, while reversal signs has lit up a higher high above $5.2 followed a higher low on daily charts would confirm reversal over higher time frames.

 

ETC vs. ETH

With an ironic reference to the history behind the development of Ethereum Classic [ETC], Su Zhu compares the price history of the two ledgers. He tweets,

“Imagine owning mutable instead of immutable ether”

Comparison of Cryptocurrencies (Source: Twitter)

The two prices actions are starting to diverge as the ETH is still trading below bearish trend-line. At yearly lows around $3.4, the price of ETC logged at 66.4% correction; ETH also fell over 65%. Moreover, the PA of ETC suggests likely bullish reversal.

eth etc
ETH/USD and ETC Price Comparison on Kraken (TradingView)

In mid January, the Network will undergo the Agartha Hard Fork on ETC which will induce compatibility with Istanbul along with the Ethereum Constantinople and Petersburg upgrades.

The network is moving towards compatibility with Ethereum [ETH] while maintaining its PoW protocol.

The cryptocurrency is fairly popular in China with a number of non-profit organization like the Ethereum Classic Consortium working on the network. The push towards Blockchain in China can be positive for the popular projects in the region like NEO and ETC.

Furthermore, according to their plan, ETC will form the first layer of validation on blockchain with PoW along with Bitcoin, as most other chains are looking to shift to PoS and pre-mine era.

Do you think that ETC bullish reversal and future plans are sustainable? Please share your views with us. 

Author: Nivesh Rustgi
Nivesh from Engineering Background is a full-time Crypto Analyst at Coingape. He is an atheist who believes in love and cultural diversity. He believes that Cryptocurrency is a necessity to deter corruption. He holds small amounts of cryptocurrencies. Faith and fear are two sides of the same coin. Follow him on Twitter at @nivishoes or mail him at nivesh(at)coingape.com
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Nivesh Rustgi 1181 Articles
Nivesh from Engineering Background is a full-time Crypto Analyst at Coingape. He is an atheist who believes in love and cultural diversity. He believes that Cryptocurrency is a necessity to deter corruption. He holds small amounts of cryptocurrencies. Faith and fear are two sides of the same coin. Follow him on Twitter at @nivishoes or mail him at nivesh(at)coingape.com
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