By Franklin Smith
Ethereum Classic has recorded sizeable growth within the last two weeks as bulls confirmed their dedication to preventing price dips below the $30 price level. That had them rallying towards the $42 highs before encountering rejection.
Merge updates might have influenced as miners migrated to the Ethereum Classic network. That had the PoW token recording increased hash rate. The rate has soared since mid-August. However, price actions didn’t follow these developments. BTC’s drop within the past data didn’t support bulls either.
Ethereum Classic 1Day Timeframe
The price chart revealed two things. First and foremost, Ethereum Classic remained inside long-term downtrends. The token’s price could not break previous peaks (stretching back to September 2021) regardless of the massive upticks in July-August.
Meanwhile, the downward tendencies have witnessed sizeable rallies. ETC recorded $64, $52, and then $46 swing peaks since November 2021 – all of which remained lower than the past figure. Also, the charts indicated that Ethereum Classic hovered at a substantial demand and supply zone. The value zone at $35 – $37 has served as resistance since early 2022. Also, the $50 mark represented a significant zone on higher timeframes.
Analysts plotted FIB retracement zones based on the asset’s downward move to $12.47 from $52.66. It placed 0.786 and 0.618 at $44.07 and $37.32, respectively. Furthermore, the price actions have respected these zones over the past few trading weeks.
Reasoning
The indicators highlighted that ETC had some bullishness. The RSI (Relative Strength Index) steadied beyond 50-neutral regardless of the volatility within the last two weeks. That indicated that sentiment could continue in the bulls’ favor.
Meanwhile, the OBV remained relatively flat. It indicated that selling and buying volume within the previous month stayed nearly equal, confirming dominance absence from either side. The CMF followed the finding, swaying below the neutral area. It dropped under -0.05, indicating substantial capital flow from the market. The DMI (Directional Movement Index) revealed a massive ETC uptrend in September.
Final Thought
Indicators suggested some bullishness but an absence of massive and steady demand by buyers. ETC’s price action reveals $37 and $50 as significant levels, with the FIB retracement expected to serve as resistance and support. Meanwhile, Bitcoin will likely influence Ethereum Classic in the upcoming weeks.