- Ethereum classic price declined towards the $5.00 support and recovered against the US dollar.
- There was a break above a key contracting triangle with resistance at $5.55 on the hourly chart of the ETC/USD pair (Data feed via Kraken).
- The pair is currently placed nicely above $5.40 and it could correct higher towards the $6.00 level.
Ethereum classic price is slowly recovering against the US Dollar and Bitcoin. ETC/USD is likely to climb towards the $6.00 or $6.25 levels in the near term.
Ethereum Classic Price Analysis
Recently, there were heavy declines in ETC price from the $7.40 swing high against the US dollar. The ETC/USD pair declined and broke the $6.20, $6.00 and $5.50 support levels. The decline was such that the price spiked below the $5.00 support and traded as low as $4.97. The price even settled below the $6.00 handle and the 100 hourly simple moving average.
Later, the price corrected higher from the $4.97 swing low and moved above the $5.00 and $5.20 level. The price gained traction above the 23.6% Fib retracement level of the last decline from the $7.40 high to $4.97 low. There was also a break above a key contracting triangle with resistance at $5.55 on the hourly chart of the ETC/USD pair. It has opened the doors for further upsides towards the $6.00 level. The next resistance is at $6.20 and the 50% Fib retracement level of the last decline from the $7.40 high to $4.97 low. Further above, the 100 hourly simple moving average is positioned near the $6.25 level.
The chart suggests that ETC price is placed nicely above the $5.40 and $5.20 support levels. Therefore, there are chances of an upside recovery towards $6.00 and $6.20. Any further gains will most likely face sellers near $6.80.
Hourly MACD – The MACD for ETC/USD is currently placed in the bullish zone.
Hourly RSI – The RSI for ETC/USD is currently above the 50 level.
Major Support Level – $5.20
Major Resistance Level – $6.00
Author: Aayush Jindal