ETC Technical Analysis: Will ETC Sustain Above The $26 Zone?

Table of contents

  1. ETC Technical Analysis
  2. Technical Indicators

The ETC Technical Analysis shows a declining trend approaching the crucial support zone at $26, threatening a downtrend continuation.

The ETC price action shows a bearish reversal from the $40 resistance level, with a double top pattern accounting for a drop of 28%. The downtrend currently approaches the crucial support zone between $23 to $26  after crashing below the crucial daily EMAs. So will the downtrend continuation drop below the crucial support zone leading to a death cross?

Key Points:

The Ethereum Classic prices show a high momentum downtrend.The increased selling pressure endangers the buyers at the $25 mark.The intraday trading volume in Ethereum Classic is $1.30 billion.

ETC Price Chart

Source – TradingView

ETC Technical Analysis

The ETC price action shows a bullish reversal from the 200-day EMA with a double bottom pattern reaching $40. However, the increasing pressure resulted in a higher price rejection and a double top pattern with the neckline at $33.5.

The increased selling pressure on 15 September led to a downward trend resulting in a bearish breakout of $33.5.  Accounting for a drop of 30%, the free fall continues after breaking the 200-day EMA and the $30 mark.

The spike in the intraday trading volume currently supports the falling prices reflecting an increase in the underlying bearishness. Therefore short-term traders can expect a short-term selling opportunity to ride the downtrend. However, traders hoping for a breakout of the support zone must wait for the prices to close below the level.

If the selling pressure persists, the falling ETC prices will continue to break the $20 psychological mark and reach the $18 horizontal level. However, if the buyers are successful in asserting dominance over the support zone, a bullish reversal might retest the $30 mark.

Technical Indicators

The daily RSI slope crosses below the halfway line and approaches the oversold boundary reflecting an increase in the underlying bearishness. Moreover, the MACD and signal lines maintain a declining trend with a constant increase in the bearish cap.

Therefore, the technical indicators show the possibility of a downtrend continuation in ETC prices.

Resistance Levels – $30 and $33

Support Levels – $26-$23 and $18

Tags

Share this post:

Share on facebook
Share on twitter
Share on pinterest

Post comment

Your email address will not be published. Required fields are marked *