Search ForexCrunch
  • Ethereum Classic price has been on a downswing since its first notable run-up reached a peak on May 26.
  • Lately, ETC is hovering between the 62% and 79% Fibonacci retracement levels at $56.38 and $48.89.
  • Investors can expect a 24% run-up to $70 after a bounce from the said range.

Ethereum Classic price has stayed range-bound, quite similar to what most of the crypto market is doing. However, lately, ETC has been consolidating in a tight range. Typically, coiling up leads to massive breakouts. Considering the structure that ETC is displaying, a bullish breakout seems likely.

Ethereum Classic price prepares for a lift-off

Ethereum Classic price saw a 111% upswing after bottoming on May 23. Since then, ETC spent its time hovering above the 50%   Fibonacci retracement levels at $61.66.  

However, the sell-off originating on June 7 kept ETC below the lower half of the range, where it has been trading between the 62% and 79% Fibonacci retracement levels at $56.38 and $48.89, respectively.

A dip in this range is often followed by a move higher, but due to the ranging nature of the crypto markets, Ethereum Classic price is taking its time for a breakout.

A decisive 6-hour candlestick close above the 50% Fibonacci retracement levels at $61.66 will signal the start of an upswing. In such a case, investors can expect Ethereum Classic price to surge to $70, shattering all the resistance levels in between.

This uptick would represent a 24% advance from its current position, $56.79.

In a highly bullish scenario, ETC might climb to the subsequent supply barrier at $71.91.

ETC/USDT 6-hour chart

ETC/USDT 6-hour chart

On the other hand, if Ethereum Classic price fails to break above $61.66, it will represent the weakness in buyers. If this were to happen, ETC would continue coiling up or moving sideways.

However, a convincing 6-hour candlestick close below $48.86, coinciding with the 79% Fibonacci retracement level, will invalidate the bullish thesis.

In this case, ETC could slide 18% to the range low at $39.37.