- ETC/USD gives back some Asian gains.
- The upside trend is likely to resume rather sooner than later.
Ethereum Classic (ETC) is one of the best-performing cryptocurrencies out of top-20. The coin has gained over 18% in recent 24 hours and hit $8.40 high before retracing to $8.07 by the time of writing. Now it is the 17th largest digital asset with the market value of $886 and an average daily trading volume of $1.1 bln.
On the daily chart, ETC/USD has closed the price gap created in mid-November by a sharp collapse from $7.45 to $6.23. This development creates a positive technical background and signals that the coin is ready to resume the upside recovery. The Relative Strength Index (RSI) also points upwards; however, the indicator stays in the overbought territory, which may signal that a short-term correction may be in store.
Strong support is created by psychological $8.00; thus, Once it is cleared, the downside is likely to gain traction with the next focus on $7.00 (SMA50 1-hour) and $6.70 (the upper boundary of the recent channel and SMA100 1-hour). On the upside, a sustainable move above the recent high of $8.40 will open up the way towards psychological $9.00 and $10.00.
On the intraday level, the technical picture supports the retracement scenario. Considering that the intraday RSI has already moved outside an overbought territory, the downside correction is likely to be short-lived.
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.