Ethereum Classic price has caught the attention of the cryptocurrency market with an impressive 34% leap in just 24 hours, marking its position as the top gainer among the 100 leading cryptocurrencies by market capitalization. This original version of Ethereum has surpassed the $30 mark for the first time since September 2022, sparking interest among investors and traders alike.
Before this commendable breakout, ETC price had been wrestling with the $25 resistance level following a period of consolidation throughout 2023. However, recent developments on the weekly chart indicate a positive shift in sentiment. This change is highlighted by the breaking of a long-term descending trendline and the formation of a bullish engulfing candle on the daily chart. These factors contribute to a favorable Ethereum Classic price prediction, suggesting a potential for continued upward momentum.
Surge in Trading Volume and Market Sentiment
The recent ETC price spike is accompanied by a remarkable 234% increase in trading volume, soaring to $1.54 billion in a single day. This surge in trade activity points to a growing interest in Ethereum Classic, potentially fueled by expectations surrounding the U.S. Securities and Exchange Commission’s (SEC) decision on Bitcoin ETFs, which may broaden the crypto market’s investment appeal. According to the latest market data, Ethereum Classic price is trading at $30.01, with strong bullish pressure on the chart.
📈 #EthereumClassic has blasted off following the #BitcoinETF announcement, reaching above $26 for the first time since October, 2022. Trading volume has surged, indicating major trader interest. However, $ETC sentiment still appears neutral for now. https://t.co/LhebnauCQX pic.twitter.com/wEf3ujmqH6
— Santiment (@santimentfeed) January 11, 2024
Despite these positive indicators, the market sentiment towards Ethereum Classic remains neutral, as noted by Santiment. This neutrality indicates an absence of a definitive bullish or bearish trend despite the uptick in market activity. In comparison, Bitcoin and Ethereum have shown relatively modest gains in contrast to ETC’s 34% increase. Such volatility is characteristic of the cryptocurrency market, known for its rapid and often unpredictable price movements.
ETC Technical Analysis and Future Outlook
A closer look at the daily technical analysis reveals that Ethereum Classic’s price trend maintains its bullish nature. However, signs of a potential local peak are emerging. The bulls are in control, pushing the price above the $30 resistance level. If this momentum continues and surpasses the next resistance at $40, further growth could be on the horizon. The support level remains solid at $18, suggesting this will likely hold if there’s a downward price correction.
ETC/USD 4-hour chart, Source: Tradingview
Technical indicators reinforce the bullish outlook. The Moving Average Convergence Divergence (MACD) indicator is in a positive zone, with the MACD line positioned above the signal line on the four-hour chart. Similarly, the Relative Strength Index (RSI) is bullish, trading above the 80-level on the four-hour chart, indicating strong market buying power.
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