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  • ETC collapsed to new lows on Tuesday.
  • Recovery above $6.00 is needed to mitigate the downside pressure.

ETC/USD is changing hands at $5.70, down over 3% both since the beginning of the day and since this time on Tuesday. The 18th largest digital asset with the current market value of $628 million crashed to $5,27 during early Asian hours, but managed to claw back some ground.

Looking technically, the coin has lost over 28% of its value from the recent high of $8.00. It topped on April 8 and has been sliding down ever since. ETC/USD crashed below DMA200 ($5.8) and touched the next important support level created by DMA50 at $5.36. Once it is cleared the sell-off may be extended towards psychological $5.0 and DMA100 at $4.80.

On the upside, we need to see a sustainable move above $6.00 will allow for the recovery towards $6.40, the upper boundary of the previous consolidation area. The next bullish aim is seen at $7.00. However, the downward-looking RSI (the Relative Strength Index) implies that a sustainable upside momentum is less likely at this stage.
 

ETC/USD, 1-day chart