- ETC/USD is locked in a tight range as the market has slowed down.
- A strong move above $7.00 will help to mitigate the initial bearish pressure.
Ethereum Classic, the 18th largest digital asset with the current market value of $783 million, has lost over 2% in recent 24 hours and nearly 4% since the beginning of Tuesday to trade at $6.95 at the time of writing. ETC/USD was one of the growth leaders on Monday; however, currently, the coin is moving in sync with the market. Since the beginning of the day, ETC/USD has been range-bound with bearish bias after a failed attempt to settle above critical $7.00.
ETC/USD: Technical picture
On the intraday charts, ETC/USD has been moving sideways with a bearish bias. The price movements are limited by the next critical resistance created by $7.00 and the lower boundary of the short-term channel at $6.60, reinforced by the lower line of 1-hour Bollinger Band. A sustainable move outside this channel will help to create a directional momentum, Thus, a breakthrough above $7.00 has the potential to take the price towards $7.40 (SMA100 daily, SMA100 1-hour) and psychological $8.0 with SMA200 1-hour on approach.
On the downside, strong support is created by Sunday’s low of $6.28. It is closely followed by a combination of SMA200 daily and the lower line of the daily Bollinger Band at $6.25. This area limited the sell-off on the weekend and thus it should serve as strong support in case of a new sell-off. If it is broken, the price will continue to move lower towards psychological $6.00 and $5.30, which is the upper boundary of the previous consolidation channel.
ETC/USD 1-hour chart