Ethereum Classic (ETC) like many other altcoins has completed its correction. It is down to Bitcoin (BTC) now to resume its uptrend so the rest of the market can follow. The above weekly chart for ETC/BTC
shows that Ethereum Classic (ETC) has finally formed a bottom against Bitcoin (BTC). The next move it makes from this point forward will be a decisive one. If Ethereum Classic (ETC) breaks the trend line and falls further, it will be the start of another correction. On the other hand, if Ethereum Classic (ETC) climbs towards the downtrend resistance, it will have to break above the 21 EMA in other to test it. If it breaks the 21 Week EMA resistance, there is a very high probability that it will burst straight through the downtrend resistance to begin a new trend.
Technical indicators are already in favor of Ethereum Classic (ETC). Wave trend analysis for ETC/BTC shows that the price is ready for a trend reversal. RSI has also bottomed out and is ready to take off. Historically, the month of October has proven to be positive for the cryptocurrency markets. However, this time the circumstances are a little different. For the first time in history, major players in traditional finance have started to recognize the potential of cryptocurrencies. They are already late to the game and they don’t like it. Given that they buy most of their coins in over the counter (OTC) markets, it is possible that they might deliberately suppress the price one exchanges till they are done buying. This might be terrible for margin traders because such manipulation can easily liquidate their positions. However, for accumulators this provides additional opportunity to buy more at lower prices.
As much as we all would like to buy Ethereum Classic (ETC) at lower prices, the chances of that happening are very low. Soon as the price nears $10, a large crowd of bulls takes over. We have seen this happen over and over again. Wall Street might want to push ETC/USD
down to $2 if they can but ground realities are different. Exchanges do not want an extended correction and neither do the whales. Nobody seems to be touching the price right now for two main reasons. The first reason is that retail investors are scared to get in as the price could swing either way. The second reason is the whales are looking for the price to swing one last time to the downside so they can accumulate more.
However, the time for sideways movement is drawing to an end. Ethereum Classic (ETC) will now have to make a decisive move. If this move is to the upside, we will see the beginning of a new trend as the price recovers. If this move is to the downside, there still remains a possibility that it might be manipulation and the price might still continue to climb and begin a new trend. However, if the price falls and closes a weekly candle below the trend line, that would mark the beginning of an extended correction which could last till September 2019.