Hello,
Today I will analyze the Ethereum Classic (ETC).
Similarly to most altcoins, ETC/BTC took an important (but waited and quite due) correction after going from 110k in March to its all time high at 930k in May (8.5x growth). Today ETC/BTC trades around 450k which represents 50% in retracement.
But with BTC coming back on its feet and with the current chart setup of Ethereum Classic, good opportunity of trading could come.
Indeed, on the chart you could see that ETC/BTC is inside a descending wedge which is a bullish pattern because it tends to break upward. This wedge should resolve before two weeks. Around 443k, we also have a short term 0.236 Fib resistance (Red line) where ETC bounce two days ago.
If the 0.236 Fib hold, we will test the top of the descending wedge soon around 448k. If the wedge breaks upward we could see an upward movement to 535k.
If the 0.236 Fib doesn’t hold we will test the bottom of the wedge or the long term 0.382 resistance around 415k. If we bounce we will test the top of the wedge again. But if the wedge breaks downward we will see a down movement to 390k, and then 340k and if none of the previous support hold we will test 300k where there is strong support.
On the indicators side, the mix of OBV, ADX/DMI, RSI , Volume Zone and MacD didn’t give a strong buy signal because they don’t concord at the same time.
In conclusion, It may be a good time to buy some etc when the triangles breaks upward for a safer buy.
Today I will analyze the Ethereum Classic (ETC).
Similarly to most altcoins, ETC/BTC took an important (but waited and quite due) correction after going from 110k in March to its all time high at 930k in May (8.5x growth). Today ETC/BTC trades around 450k which represents 50% in retracement.
But with BTC coming back on its feet and with the current chart setup of Ethereum Classic, good opportunity of trading could come.
Indeed, on the chart you could see that ETC/BTC is inside a descending wedge which is a bullish pattern because it tends to break upward. This wedge should resolve before two weeks. Around 443k, we also have a short term 0.236 Fib resistance (Red line) where ETC bounce two days ago.
If the 0.236 Fib hold, we will test the top of the descending wedge soon around 448k. If the wedge breaks upward we could see an upward movement to 535k.
If the 0.236 Fib doesn’t hold we will test the bottom of the wedge or the long term 0.382 resistance around 415k. If we bounce we will test the top of the wedge again. But if the wedge breaks downward we will see a down movement to 390k, and then 340k and if none of the previous support hold we will test 300k where there is strong support.
On the indicators side, the mix of OBV, ADX/DMI, RSI , Volume Zone and MacD didn’t give a strong buy signal because they don’t concord at the same time.
In conclusion, It may be a good time to buy some etc when the triangles breaks upward for a safer buy.