Ethereum Classic[ETC] Price Action Testing Crucial Support Levels! Is it Riding on the Ethereum Merge Hype?

Key Takeaways:

• Ethereum Classic price surged by more than 30% since the Goerli Testnet went live but since the beginning of the weekly trade, the asset has plunged hard and reclaimed its initial position before a surge.
• The ETC price is currently testing crucial support levels and could also drop hard as the selling pressure has accumulated to a large extent

Ethereum Classic Technical Analysis

Source: Tradingview

• The Ethereum Classic price has attracted huge volume for the past month and hence has surged magnificently
• The ETC price due to the recent price action has dropped heavily below the trend line displaying fewer chances of regaining the levels above the line
• An extended bearish trend may pull the price down towards the crucial support which is around $28.08. 
• Here is the trend flips, then a rebound may prevent excessive drain, else the breakdown from these levels may push the asset into a bear market 

Change in On-Chain Metrics of Ethereum Classic(ETC)

• The Ethereum Classic price has been swinging within a bearish trend, but the circulating supply maintained a constant upswing and reached the ATH of 136 million

Source: Messari

• The volatility of the asset spiked high as the ETC Price gained extreme bullish momentum and surged high. 

Source: Messari.io

• The Ethereum Merge is approaching very fast and hence the ETH miners appear to have shifted to ETC. Therefore, the ETC hash rate or the mining difficulty has peaked in recent times, reaching 32.45%

Source: Messari.io

• The ETC transaction fees remained considerably low throughout the trade but with the rollout of the Goerli Testnet, the fees have spiked remarkably

Source: Messari.io

ETC Price Prediction for August 2022

The Ethereum Classic price from the past month has gained a notable upswing with a heavy influx of trading volume. However, the buying and selling volume, both comprise equally the volume but the bulls maintained their dominance to a large extent. While the  ETC price was on its way to reaching $50, an extended bearish trend dragged the price extremely lower. 

In the next couple of weeks until the weekly close, the ETC price is expected to continue with a descending consolidation and eventually reach the lower crucial support at $28. Yet the possibilities of a rebound occur at around $32, and in such cases, the asset may close the monthly trade close to $37 to $38. Else, a continued bearish trend may strengthen the bears to drag the price lower beyond $28. 

Additional Read: Ethereum Classic Price Prediction

Recent News on Ethereum Classic

The Ethereum Classic Cooperative is launching an additional community Discord server today. The previous community Discord is very lightly moderated while the new server is intended to provide an alternative platform for the people who want to be away from the distraction. 

The ETC Cooperative is launching an additional Ethereum Classic community Discord server today, to provide an alternative moderated platform for the ETC community.https://t.co/qfhbgangaw pic.twitter.com/bdA5086pdp

— ETC Cooperative (@ETCCooperative) August 15, 2022

• The Ethereum Classic community has rejected the EIP-1559 in the Mystique hard fork. And hence the ETH miners are choosing ETC post-Ethereum Merge.

#EthereumClassic community rejected EIP-1559 in the Mystique hard-fork and the inflation distribution is unbiased. This is yet another reason #Ethereum miners are choosing to mine #ETC post ETH-Merge. #ETCARMY

— Ethereum Classic (@eth_classic) August 15, 2022