Ethereum Classic (ETC) price rose more than 18% to $39.47 on September 5, outperforming other major cryptocurrencies, which remained in the red at press time. The cryptocurrency mining pool and blockchain explorer BTC.com developed a dedicated Ethereum Classic pool with three months of “zero-fee” mining before its enormous gains. The announcement surfaced following confirmation that the Ethereum proof of stake switch might take place on or before September 19. But the transition to PoS will force Ethereum’s PoW miners out of their livelihood. On the other hand, the miners impacted by the Merge can find refuge in Ethereum Classic, the first iteration of Ethereum that continues to use PoW. The network’s hashrate reached a record high of 41.81 terra hash per second (TH/s) on September 4, indicating that PoW miners are already flocking to it in large numbers. Based on this, Ethereum Classic might be primed for a 60% price rally in September as it has formed a “bull flag” in recent weeks.
Key Levels
Resistance Levels: $50.00, $45.00, $40.00
Support Levels: $30.00, $25.00, $20.00
ETC/USD Daily ChartThe ETC/USD recovery is pushing past $39.00 on the daily chart. The next barrier is followed by a $40.00 more powerful barrier. When out of the path, the positive side is likely to maintain momentum, with the next emphasis on the $45.00-$50.00 range, which includes the yearly high and its confluence area. For the time being, ETC has been unable to breach the topside barrier that has been formed on its daily chart since March 22.
On the downside, a move below $30.00 horizontal support may increase downside pressure and focus on $25.00. It is followed by firmer support at the $20.00 level. Once this barrier is breached, the sell-off may gain traction, with the next emphasis on the yearly low of $12.44. With the rebound in place, the rally is expected to continue in the near term.
ETC/USD 4-Hour ChartETC/USD has moved back above $35.00 after dip-buying activity came in earlier today from below the $32.00 support zone. Moving forward, ETC/USD bulls must push the price back above $40.00 to realign the cryptocurrency further in the short term. It’s also worth noting that bulls must be kept above $32.00 to prevent the formation of a bearish reversal pattern.
The ETC/USD pair is now only bullish when trading above the level of $40.00; the main resistance is found between $45.00 and $50.00. If the ETC/USD pair falls below $30.00, sellers may test the $25.00 and $20.00 support levels. Ethereum Classic, on the other hand, is attempting to maintain its upward trend and is likely to do so.
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