After spending much of the first quarter of the year below $35, the Ethereum Classic price broke out on March 20th and has stayed above that level ever since. Notably, it went all the way to hit $54.3, the highest level since November 16th, 2021. However, it has trended sideways for most of the last ten days and shed about 7.1% of its value in the last 48 hours. Certainly, this will be a concern for many ETC holders.
A reversal or a pullback?
ETC price seems to be indicating a potential reversal after previously showing signs of reaching $60. Despite its twin-turned-rival, ETH, also making substantial gains over the past ten days, ETC has gained more ground. For context, ETH has been on an uptrend since March 14th and has risen by 30% over those 18 days. On the other hand, Ethereum Classic has risen by 79.2% in the same timeframe.
Also, it is worth noting that the crypto market has recently faced a threat from the EU, following a proposal to ban proof-of-work cryptocurrencies from the block. The proposal failed to pass through the EU parliament. Notably, however, it did not significantly impact ETC, which operates on the proof-of-work protocol.
Also, it is worth noting that the latest crypto market uptrend began in the immediate aftermath of the EU parliament decision. Nonetheless, many attribute the market gains to Russia’s announcement that it would sell its oil to its allies in exchange for Bitcoin. Therefore, as usual, Bitcoin remains the gold standard of the crypto market.
With BTC showing signs of fatigue, Ethereum Classic seems to be following its cue and is headed downwards. In contrast, ETH has followed a steeper upward gradient. As it stands, Ethereum Classic price is in a pullback and could be headed for a reversal.
Ethereum Classic Price Prediction
ETC seems headed for a reversal, and investors will be on the lookout for a downward breakout. The 50-MA is substantially below the 200-MA, signalling a weak market. A price movement below the support at $38.21 will confirm the downward breakout and invalidate attempts to reach $60 in the near term.
However, the MACD line is above the signal line, indicating substantial momentum. If the momentum sustains the price above $49.59, the next target will be $54.33, and the $60 target will be viable.