Key Highlights
- Ethereum classic price started a downside correction from the $11.00 swing high against the US Dollar.
- There is a crucial bullish trend line forming with support at $10.40 on the hourly chart of the ETC/USD pair (Data feed via Kraken).
- On the upside, the pair is facing resistances near the $10.70 and $10.95 levels.
Ethereum classic price is currently correcting lower against the US Dollar and Bitcoin. ETC/USD needs to stay above $10.40 to avoid further declines.
Ethereum Classic Price Resistance
Recently, we saw an upside break above $10.50 in ETC price against the US Dollar. The price moved higher and traded towards the $11.00 level where it faced sellers. A high was formed at $10.99 from where the price started correcting lower. It has already moved below the 23.6% Fib retracement level of the last leg up from the $9.50 low to $10.99 high. The downside move was such that the price also moved below $10.50 and the 100 hourly simple moving average.
However, the downside move was protected by a crucial bullish trend line with support at $10.40 on the hourly chart of the ETC/USD pair. Moreover, the 50% Fib retracement level of the last leg up from the $9.50 low to $10.99 high also prevented declines. At present, the pair is trading near the trend line support at $10.40 and struggling to hold the same. A close below the trend line support at $10.40 would be a bearish sign and it could even spark more declines in the near term.
The next support sits at $10.10, which is a pivot level. On the upside, there is a connecting bearish trend line forming with resistance at $10.70. Above $10.70, the next important resistance is at $11.00.
Hourly MACD – The MACD might move back in the bullish zone.
Hourly RSI – The RSI is currently well below the 50 level.
Major Support Level – $10.40
Major Resistance Level – $10.70
Charts courtesy – Trading View, Kraken
