Unlike volatile market leaders Bitcoin and Ethereum, the ETC/USDT pair initiated an upright rally with a 21% long bullish candle piercing through wedge pattern resistance on March 11th. The following day, altcoin soared 10%, and the rally continued till the $44 mark. But, how far can buyers sustain this bullish momentum?
Key points:
- A minor retracement is needed to stabilize the aggressive buying
- The 20-and-50- EMA offers a positive crossover
- The 24-hour trading volume in the Ethereum Classic coin is $2.3 Billion, indicating a 26.9% fall.
Source-Tradingview
A falling wedge pattern carried the recent downtrend in the Ethereum Classic(ETC) price and marked a new lower at $21.25. However, the coin price rebounded from this support twice, indicating a strong accumulation zone for traders.
The price action squeezed between the resistance trendline and $23.2 support resulted in a decisive upside breakout on March 19th. The buyer maintained strong momentum and gathered a 55% gain in the last four days.
Today, the ETC price is up by 13% and retest the $44 monthly resistance. However, the altcoin is expected to provide a minor correction before it could continue the bull run. The technical chart suggests the $38.6 and $33.55 could act as strong pullback support.
Furthermore, a breakout and closing above the $44 mark should open the door $50 psychological level, followed by $60.
On the other hand, the fallout from the $33.5 support could sink the altcoin to $23.3 crucial support.
Technical indicator
In one stroke, the sudden price jump breached the bearishly aligned crucial EMAs(20, 50, 100, and 200). Moreover, the upcurved 20-and-50-day provides a bullish crossover encouraging the ongoing recovery.
The Relative Strength Index(80) indicator shares a similar pump charging straight overbought region with no sign of bearish divergence so far.
- Resistance level: $44 , $50
- Support level: $38.6, $33.5
Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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Source: https://coingape.com/markets/etc-price-prediction-60-on-radar-as-wedge-pattern-sets-out-new-recovery-rally/