Ethereum Classic price is bouncing back on Wednesday after the relatively dovish statement by Jerome Powell. IOt has risen by more than 10% and is slightly above yesterday’s low of $32. It has a market value of more than $4.62 billion and is the 23rd biggest crypto in the world. On the other hand, Ethereum price has also jumped above $2,000 as demand rises.
What happened? Jerome Powell, the Fed chair testified before a committee on coronavirus on Wednesday. He sharted the meeting by delivering a relatively dovish statement in which he committed to continuing providing the necessary support to the economy. This was seen as a relatively dovish statement by investors, coming a week after the bank issued a hawkish rate decision.
As a result, stocks surged to a record while cryptocurrencies also bounced back. Ethereum Classic price joined the rally that saw other coins surge. Bitcoin managed to rise to more than $34,000 after it crashed below $29,000 on Tuesday. This bounce is also because of investors who are rushing to buy the dip. So, what next for ETC price?
Ethereum classic price prediction
The four-hour chart shows that the ETC price has been in a sharp retreat recently. The coin has dropped by more than 77% from its all-time high in May. It has also moved below the 25-day and 50-day exponential moving averages (EMA). Further, the price remains below the descending trendline that is shown in blue.
The price also managed to move below the lower line of the descending channel. Therefore, I suspect that a break and retest pattern is emerging, meaning that the coin will likely resume the downward trend. However, a move above the upper side of the channel at $50 will invalidate this price action.
ETC price chart
Follow Crispus on Twitter.