Key Highlights
Ethereum classic declined heavily towards the $15 support against the US Dollar and later found buyers.
There was a bearish trend line formed with resistance at $17.30 on the hourly chart (data feed via Kraken) of ETC/USD, which was broken recently.
The price is trading with a positive bias above $17 and may gain pace for further gains.
Ethereum classic price recovered sharply after a dip against the US Dollar and Bitcoin, and ETC/USD is now moving higher towards the $19 resistance.
Ethereum Classic Price Back above Support
Yesterday, ETC price failed to hold the $17.50 support against the US Dollar. The price traded sharply lower and broke a few support levels like $17 and $16. A new weekly low was formed below the $15 handle at $14.87 from where the price started recovering. The price bounced back sharply and moved above the 23.6% Fib retracement level of the decline from the $21.10 high to $14.87 low.
During the upside move, the price broke a bearish trend line formed with resistance at $17.30 on the hourly chart. It opened the doors for more gains and the price was able to move back above the $17.50-60 support. The price is currently attempting a close above the 50% Fib retracement level of the decline from the $21.10 high to $14.87 low. Once it succeeds, there is a chance of ETC/USD testing the 100 hourly simple moving average at $19.00.
The $19 resistance also coincides with the 61.8% Fib retracement level of the decline from the $21.10 high to $14.87 low. So, there is a chance of a minor pullback for the 100 SMA towards $17.50. Buying dips towards the $17.50-00 levels remain a good idea in the near term.
Hourly MACD – The MACD is back in the bullish zone.
Hourly RSI – The RSI is now well above the 50 level.
Major Support Level – $17.50
Major Resistance Level – $19.00
Thanks for Reading.
