ETC price is trying to make a comeback after plummeting for the past three consecutive days. Ethereum Classic is trading at $ 48, which is a few points above the weekly low of $ 44.62. This price action brings its total market capitalization to more than $ 6.22 billion, making it the 28th largest coin in the world.
Why is Ethereum Classic recovering?
Ethereum Classic is a blockchain project that emerged from the large Ethereum hard fork a few years ago. From a fundamental point of view, Ethereum Classic has not caught up. Unlike Ethereum, which has been used to create hundreds of projects, very few well-known projects are created using its technology.
This is in part because of the security issues considering it is popular with 51% attacks. Some of the apps created on the platforms are Aqua Bank, OriginalMy, and Arena Racing. You are not popular.
At the same time, the ETC price has performed relatively well. This year alone he’s up more than 800%, making him a top performer. In my view, this price action is mainly due to a desire by retail investors to get exposure to Ethereum. As the ETH price rose to more than $ 3,000, so too did the desire to own ETC for less than $ 50.
ETC price prediction
The daily chart shows that the ETC price formed a double top pattern at $ 78. This pattern is usually a bearish sign. The cutout was at USD 58.66, which is slightly above the current level. It stays slightly below the 25- and 50-day moving averages. A double top pattern is usually a bearish signal.
Hence, the token is likely to maintain its bearish trend as this rebound appears like a dead hop. In the short term, we cannot rule out a situation where the ETC drops below $ 40.