Bitcoin fell to £20.77k on the day of the crash of Terra Luna, and Ethereum Classic went down to £12.8. The price has fluctuated a lot since then.
However, with Bitcoin ranging between £23.97k and £22.37k, the altcoin market has yet to rebound. Fear persists in the market, and rallies are used to sell. This likely also applies to Ethereum Classic, as the price pulled back to £17.5 at the £19.1 level.
A set of Fibonacci retracement levels was established for the move up from £15.5 to £19.3. In the last four days, the price has made a succession of lower highs and lower lows on lower timeframes. The bulls pushed beyond £17.4 the day before, and the pullback was also accompanied by considerable trading volume. The buyers seemed to have wielded some power in the market.
On the hourly timeframe, Ethereum Classic certainly appeared to be able to continue climbing. However, higher timeframe analysis revealed that the £19.5 level was a strong resistance level. Meanwhile, resistance has turned to support in the £17.2-£17.38 area. A move below £17.2 would likely imply bearish strength.
ETC’s rally to £19.3 sent the Awesome Oscillator spiking sharply upward. However, the price has just retreated below the zero line, indicating developing bearish dominance. The MACD also created a bearish crossover and plummeted toward the zero line at the same time.
Apart from a huge surge upwards the day before, the A/D has been rather flat in the last week. This indicated that the buying and selling pressures were almost equal. If Ethereum Classic was on the mend, the A/D would have been increasing in recent days, indicating high buying volume.
The dearth of buyers, coupled with the uncertainties surrounding Bitcoin, showed that Ethereum Classic was likely to fall in price. The £17.2 level is one to keep an eye on, as a session close below it might push prices lower on the chart.