Ethereum Classic price analysis: This bear flag pattern spells trouble for the bulls

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  • Ethereum classic has corrected lower 6.7% but a bullish reversal is underway.
  • The bulls must break out of the bear flag pattern and seek support above $11.00.

Ethereum Classic downward spiral has been one heck of a journey. The bulls desire to push the price above $12.00 but lack the energy and a catalyst to sustain their punts. The bears deflated the digital asset even more on Wednesday leading to a drop from $11.26 to $10.20.

The price is nursing the losses in a bearish flag pattern which is embracing the support at $10.20. However, the digital asset is dancing at the edge of a cliff waiting for a fall and this time the support at $10.00 might not be able to hold. Significantly, this can be avoided by the buyers finding a support above $11.00 and later swing higher towards $12.00 and eventually $13.00.

Meanwhile, the trend is in the favor of the bulls but the 15-minutes 50 simple moving average is hindering upward movement. The stochastic is retreating from the overbought while the MACD is advancing towards 0.0 but still in the negative zone. Looking at the chart, the bulls have the potential to break out of the bearish flag pattern and stop the downward trend.

ETC/USD 15-minutes chart

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