Jonathan Morgan
Independent Analyst
- Ethereum Classic maintains a tight consolidation range, Ichimoku conditions turn bullish.
- Breakout level to initiate a new bull run is just ahead.
- Ethereum Classic is a fantastic long opportunity due to its severely lagging price action compared to its peers.
Ethereum Classic price action for the Thursday trade session has been the definition of a whipsaw. The daily candlestick open has dropped as much as 9.5% and spiked higher by as much as 10.5% - big swings in all directions. Despite the indecision and wild swings, Ethereum Classic is little changed – but that is about to change.
Ethereum Classic price is positioned for a decisive breakout, a close above $61 necessary to expand higher
Ethereum Classic price has one of the tightest consolidation ranges amongst its peers. However, while it is frustrating for traders, this behavior is beneficial for investors because it forms a robust future support area. And while that new support level has been developing, conditions within the Ichimoku system for a bullish breakout have also developed.
There is only one variable missing on the Ethereum Classic daily chart for an Ideal Bullish Ichimoku Breakout to occur. That missing variable is a close above the Cloud (Senkou Span B). If bulls can rally Ethereum Classic to a close at or above $62, then a new expansion phase of higher prices will likely occur. A return to the $100 value area is highly likely in the event of a close at $62.
ETC/USDT Daily Ichimoku Chart
However, bulls are not in total control yet. It would not take much for sellers to come in and not only push Ethereum Classic lower but push it to a level where any bullish bias is invalidated. There is a cluster of prior lows in the $44 value area between September 21st and September 30th. Any close below $44 could trigger a new bear market.
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