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Ethereum Classic bulls eye $23.8 amid short-term volatility fears

2min Read

The long liquidations below $20 could see ETC dip southward before the breakout past $22.

Ethereum Classic traders, prepare for short-term volatility

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  • Ethereum Classic regained its bullish market structure on the daily after a 20% rally
  • Liquidity levels indicate that a pullback below $20 is likely before a move beyond $22

Ethereum Classic [ETC] has performed well since the 4th of November. Alongside Bitcoin [BTC], the altcoin has posted 19% gains since the lows of that day at $17.29.

Despite the recent gains, it was still unable to rise beyond the local highs at $21 that have opposed the buyers since August. Will this move be different?

Accumulation indicator shows breakout is likely

Ethereum Classic 1-Day Chart

Source: ETC/USDT on TradingView

The market structure had turned bullish on the daily chart earlier this week after the move beyond the recent lower high at $19.82.

The A/D indicator was in a steady uptrend since August, while the price formed a range between $17.6 and $21.

With the sentiment across the crypto space growing increasingly bullish, ETC is likely set to break past the $21 level. The Fixed Range Volume Profile showed that the $21 level was a stern resistance.

It formed the lower band of the value area, where 70% of the trading volume since April has taken place. Breaking into the value area has been a challenge.

The 50 and 100-period moving averages formed a bullish crossover, another sign that an uptrend is increasingly likely.

The next significant resistance zone beyond $21 was at $23.8. A bearish order block and a high-volume node were both present in this area.

Short-term sentiment favors ETC bulls

Ethereum Classic Coinalyze

Source: Coinalyze

The Open Interest surged from $86 million on the 6th of November to $98.3 million at press time, while the price rallied 20%. This showed bullish sentiment amongst speculators.

The spot CVD also climbed higher in recent days, showcasing demand in the spot markets.

ETC Liquidation Map

Source: Coinglass


Read Ethereum Classic’s [ETC] Price Prediction 2024-25


The ETC liquidation map showed that a retracement to $19.61 and $19.37 would cause a high volume of long liquidations. To the north, relatively smaller liquidity pools were present, up to $21.99.

Since liquidity attracts prices, ETC might witness a dip below the $20 mark to trigger these long liquidations in the coming days.

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion

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Akashnath Sumukar works as a Senior Journalist at AMBCrypto. Based in Chennai, India, he has been an avid follower of the cryptocurrency market since Bitcoin’s boom and bust cycle of 2017. A graduate in Chemical Engineering, he is an expert in technical analysis. In fact, Akashnath has a particular interest in reading price charts and predicting how an asset will move over the short and long term. A self-taught trader and as someone who holds cryptos himself, he is always on the lookout for the next opportunity he can possibly capitalize on, while also educating his audience.
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