Connect with us
Active Currencies 14795
Market Cap $2,487,037,106,341.80
Bitcoin Share 51.50%
24h Market Cap Change $1.71

Will Ethereum Classic’s support level finally cave?

2min Read

Ethereum Classic has hovered over a key support level but weak buying pressure could trigger a bearish breakout.

Will Ethereum Classic's support level finally cave?

Share this article

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

Ethereum Classic [ETC] has been on a bearish decline since 14 April after price was rejected at the $23 resistance level. This has seen the altcoin lose over 22% of its value.

With Bitcoin [BTC] posting losses of 1.4% in the past 24 hours to trade at $26.7k, ETC bears could force a breakout of the compact range.

Bollinger Bands hinted at a sharp move for ETC

Source: ETC/USDT on Trading View

Ethereum Classic has traded sideways since 15 May, oscillating between the upper and lower Bollinger bands. With price consolidating just above the critical support level of $17.66, the compression of the Bollinger Bands suggested a breakout was imminent.

The key support level of $17.66 has been tested thrice over the past two weeks on the four-hour timeframe. This hinted at weakening buying pressure at that level. A further retest of this level could see price break the support, with bears targeting the March low of $16.42.

Bulls could once again defend the level and look to rally. However, an impending factor could be ETC’s low trading volume.

The RSI dipped under the neutral 50 and stood at 45, as of press time. This hinted at waning bullish action. The OBV’s fluctuating movement re-echoed the lack of certainty between buyers and sellers.

However, the CMF remained above the zero mark with a reading of +0.13. This suggested that capital inflows still existed that could spur a bullish rally.

Mixed signals in futures market

Source: Coinalyze

Read Ethereum Classic’s [ETC] Price Prediction 2023-24

The four-hour chart on Coinalyze showed the spot CVD in a steady decline. This revealed the intense selling pressure over the past month and hinted at the bearish momentum still prevalent in the market.

However, the funding rate was positive and pointed toward bullish leanings. Although the bias wasn’t overly strong on the higher timeframes, it hinted at an opportunity for bulls to rally, if Ethereum Classic’s volume ramps up over the coming days.


Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.