Ethereum Classic defies gravity with 17% growth

Ethereum Classic, the 11th largest digital asset with the current market capitalization of $1.18 billion, has gained over 14% in the recent 24 hours to trade at $10.17, off the intraday high hit at $10.32. ETC/USD is one of the best-performing assets out of top-20 coins with the registered average daily trading volume of $2.3 billion.

DeFis are coming to ETC blockchain

Bob Summerwill, ah executive director at the ETC Cooperative, explained why Ethereum Classic was a better platform for decentralized finance (DeFi) projects that Ethereum. He provided three reasons to support his view,  speaking during an AMA session hosted by Messari.

First: Ethereum Classic was “hard-money,” second: the project’s goal was ensuring sustainability, whereas Ethereum’s future was still in the gray area considering the PoS shift. He went on to state that “scalability was supposed to be the lowest concerns,” “if you are building financial instruments to hold for year.

Summerwill aslo noted that DeFi projects already existed on ETC. While most of them are decentralized exchanges (DEXes) and speculative tokens, but Summerwill believes that a lot more will be built on ETC blockchain in 2020. 

ETC is Ethereum too and with complete compatibility, DeFi projects could target ETC as well very easily. I expect to be talking to many, many DeFi projects in the coming months, giving them the elevator pitch

ETC/USD: technical picture

On the intraday charts, ETC/USD broke from the short-term consolidation channel and its upper boundary at $9.40 now serves as initial support for the price. Once it is cleared, the sell-off may be extended towards psychological $9.00 and $8.70 reinforced by a combination of SMA50 4-hour and a middle line of 4-hour Bollinger Band. Pivotal support awaits us at $8.00 with a cluster of important technical indicators located right below this level. They include SMA100 4-hour, the lower level of 4-hour Bollinger Band and the lower boundary of the above-mentioned consolidation range.

On the upside, a sustainable move above the intraday high of $10.32 will open up the way the upper line of the daily Bollinger Band at $10.80. The ultimate resistance comes at $12.00. This area stopped ETC recovery during the early days of January.

ETC/USD 4-hour chart