• Ethereum Classic price fell to trade at $21.2 following November 9’s market-wide crash.
  • ETC lost its uptrend, but a downtrend is not yet set in stone as the altcoin faces critical support and the possibility of a bounce.
  • Ethereum Classic’s movement does not warrant a sell-off, as broader market cues are expected to turn bullish over the next few days.

Ethereum Classic price, following the broader market cues, posted a red candle on November 8 and 9, bringing the price down to a four-month low. This impacted the gradual recovery in the on-chain activity that monitors investor engagement as ETC holders pull up to the curb for a while.

Ethereum Classic price next target

Ethereum Classic price has fallen by 14.2% over the last 24 hours to bring the altcoin to trade at $21.2. It is now testing the top of a downtrend line that ETC successfully flipped into support back in July 2022. This 15-month-old line looks like it will be tested once again as the candlestick hovers right above it.

Considering the state of the broader market, recovery could take a little while longer since the bearish cues are only now beginning to recede. 

If ETC manages to sustain its price above the downtrend line, the coin could soon rise and be on its way to retesting the critical resistance of $25.8. Ethereum Classic failed to flip this level into support last month after it fell through it in October. A close above it would push ETC back to the same price levels it was at a month ago.

ETCUSD 1-day chart

ETCUSD 1-day chart

However, ETC could continue treading close to the downtrend line if a recovery is not initiated. Despite the dotted line of the Parabolic SAR - an indicator used to highlight the expected direction of an asset’s price - sitting above price and therefore signaling a bearish bias, a downtrend is not active. It appears the trend is not strong enough yet to reflect the Parabolic SAR’s signal. 

If the Average Directional Index (ADX) crosses above the 25.0 threshold, it will be a sign the downtrend carries more weight. Yet even then ETC bears will have critical support at $18.17 to overcome - there may be a bounce.

Thus, it would be wise for investors and traders to keep their ETC in their wallets until a downtrend is confirmed, which at the moment, is not the case.

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Will Fed’s hawkish tone drive altcoin gains off a cliff?

Will Fed’s hawkish tone drive altcoin gains off a cliff?

Optimism (OP), MAGIC (MAGIC) and Stargate Finance (STG) are the top gainers in the last 24 hours. The rally of these altcoins can be attributed to the volatility generated by the interest rate decision and the Fed’s policy meeting that took place on Wednesday. 

More Crypto News

Fed remains hawkish with 25 bps hike, how will Bitcoin price react?

Fed remains hawkish with 25 bps hike, how will Bitcoin price react?

Bitcoin price plunged to its weekly low of $22,862 earlier today, as traders awaited the US Federal Reserve’s rate hike decision. BTC has traded sideways in the 24-hours preceding the rate hike announcement.

More Bitcoin News

Cardano price is looking to reclaim this level to mark a 17% rally and recover 4-month-old losses

Cardano price is looking to reclaim this level to mark a 17% rally and recover 4-month-old losses

Cardano price has been treading steadily upward, recovering the losses it endured over the last few months. The uptrend with ADA potentially heading toward $0.45 might differ.

More Cardano News

ApeCoin Price Prediction: Has the downtrend already started?

ApeCoin Price Prediction: Has the downtrend already started?

ApeCoin price shows subtle cues to suggest that a downtrend move could occur. The possibility of a liquidation event should not be ruled out moving forward.

More ApeCoin News

Bitcoin: If bulls are back, this is where you can accumulate BTC next

Bitcoin: If bulls are back, this is where you can accumulate BTC next

Bitcoin price shows a lack of momentum after an explosive move in the last three weeks. The fourth week has been relatively silent, without a lot of volatile moves. While BTC consolidates, other altcoins are rallying left and right, providing massive gains.

Read full analysis

BTC

ETH

XRP