Markets
Ethereum Classic’s 2024 – Here’s what you should expect from its price
- Ethereum Classic (ETC) has shown a general downward trend with falling prices, highs and lows, coupled with decreasing trading volumes.
- Bearish “death cross” suggests potential long-term downtrend
Ethereum Classic (ETC) has been a staple in the cryptocurrency market, but never expected it to grow 100 times. Still, 2024 is expected to be a very bullish year for the market, even more so than it has already been. However, things have slowed down recently and markets have crashed.
So what about ETC? What is his fate for the rest of the year?
Source: CryptoQuant
Since late May and early June, the trend has appeared generally bearish as the price of ETC has made lower highs and lower lows – a classic indication of a downtrend. This recent price decline may be associated with a decrease in trading volume – a sign of reduced investor interest and market fatigue.
Typically, low volume during a downtrend can suggest a lack of conviction in the sell-off, but it can also mean that fewer buyers are present to push the price back up.
Source: Coinglass
An increase of +5.56% means increased commercial activity in ETC Derivatives, which may be a speculative purchase or sale. In fact, the notable rise appears to correspond with a spike in ETC’s price line, perhaps indicating a speculative rush that was not sustained and led to a price decline.
Source: Coinglass
Death Cross Signals Extended Downtrend
The 50-day moving average recently moved below the 200-day moving average, indicating a bearish “death cross.” This trend is generally a sign of a long-term downtrend.
The price peaked at around $35 in March, followed by a sharp decline. After that, it consolidated around the $30 mark before breaking below the 200-day moving average.
Source: TradingView
Previous support levels can be seen around the $25 level, which have now been breached and could act as resistances in case the price attempts to recover. The next key support is likely around the $20 level, which could be tested if the prevailing downtrend continues.
In conclusion, rising selling volume and breaking previous support levels tell us that the bears are here to stay.