Ethereum Classic jumps to $13.00 only to drop below $12.00
|- Ethereum Classic (ETC) has been extremely volatile during early Asian hours due to technical factors.
- A sustainable move above $12.00 is needed to improve the picture.
Ethereum Classic (ETC) has been wild on Thursday. The coin jumped from $12.00 to $13.00 in a matter of minutes and crashed below $12.00. At the time of writing, ETC/USD is changing hands at $11.90. The coin has erased the largest part of the earlier gains.
Ethereum Classic now takes 15th place in the global cryptocurrency rating with the current market capitalization of $1.46 billion. About 47% of all ETC addresses are in the money now, while the 30-day volatility is close to 150%.
ETC/USD: Technical picture looks bearish
The nature of the recent spike remains unknown, though, despite the retreat, the coin is still moving within a long-term bullish trend. The local support created by psychological $12.00, has been taken out, which increased the selling pressure and pushed the price towards the next barrier at $11.40 ( the middle line of the daily Bollinger Band). A sustainable move below this area will worsen the immediate technical setup and allow for a deeper decline towards $10.00 and $9.50 ( the lower line of the daily Bollinger Band).
On the upside, the coin needs to get back above $12.00 as soon as possible to mitigate the selling pressure and bring bulls back to the market. Once this happens, the local barrier of $12.50 will come into focus, followed by the recent high of $13.00.
Considering the downward-looking RSI on a daily chart, the bearish scenario has a higher probability at this stage.
ETC/USD daily chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.