Ethereum Classic Price Analysis: ETC/USD ready for a rally, technical indicators imply

Ethereum Classic (ETC) retreats from the intraday high, stays in a green zone on a day-to-day basis.
The daily RSI sends positive signals, however, the price should recover above $7.00 to improve the picture.

Tanya Abrosimova Independent Analyst

Ethereum Classic (ETC) hit the intraday high of $6.71 before reversing to $6.58 by press time. Despite the retreat, ETC is still in a green zone. The coin has gained over 2.5% both on a day-to-day basis and since the beginning of the day. Now it is among the best-performing coins out of top-30. Ethereum Classic now takes the 27th place in the global cryptocurrency market rating with the current market capitalization of $774 million. An average daily trading volume is registered at $623 million, in line with the long-term average.

ETC/USD: The technical picture

On the daily chart, ETC/USD is trying to dent a strong resistance area created by a combination of SMA100 and SMA200 on approach to $6.60. Once this barrier is cleared, the upside momentum may be extended to a psychological $7.00. A sustainable move above this area will improve the near-term technical picture and allow for the upside to gain traction with the next focus on $7.40 (the upper line of the 4-hour Bollinger Band) and $8.30 (the recent recovery high hit on August 2).

On the downside, the initial support comes at Tuesday's low of $6.38. This barrier coincides with the lower lines of the daily and 1-hour Bollinger Bands located. If the bears manage to push the price below this area, the sell-off may be extended to $6.00. However, the upward-looking RSI on the daily chart signals that the coin has a strong bullish potential and may be in for a new rally.