Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
- Ethereum Classic faltered at the high range, leading to a 7.5% price drop.
- This brought ETC to the lowest level where sellers wanted to take advantage.
Ethereum Classics [ETC] The short-term prospects for a bullish rally failed to break the $16 resistance threshold. This resulted in a 7.5% dip that took ETC to the $14.46 support level.
Read Ethereum Classic’s [ETC] Price forecast 2023-24
An earlier technical analysis by AMBCrypto on October 6 highlighted the dominance of sellers as the massive return of bears quickly cut off the previous bullish rally.
Meanwhile, Bitcoin [BTC] continued to hold on to the $28,000 price zone, while the king coin appeared to consolidate its short-term gains.
Is another range-low rebound possible?
Source: ETC/USDT on Trading View
Ethereum Classic has been trading within a compact range since mid-August. The resistance level at $16 acted as the high range, while the support level at $14.46 was the low range.
Despite some breakouts, as evidenced by the price action on August 29 and October 2, ETC has largely traded within the aforementioned range. As a result, the altcoin has maintained its bearish structure, with bulls unable to initiate a sustainable price reversal.
While the On Balance Volume (OBV) highlighted consistent trading activity for ETC at the higher timeframes, the Relative Strength Index (RSI) fell below the neutral 50. At the time of writing, it was heading into the oversold zone – a sign of significant selling pressure .
However, bulls have priority at the USD 14.46 support level as the price has bounced back from the level three times in the past. A new rebound in levels offers buyers an 8.5% profit margin up to the high of $16.
On the other hand, if buying support at the level has weakened significantly, sellers could benefit from breaking below the level with $13 firmly in sight.
How much are 1,10,100 ETCs worth today?
Sellers try to exert control
Source: Coinglass
The futures market facts showed a significant tendency towards a bearish bias in the short term. This was reflected in the 52.27% share of open contracts held by shorts over a four-hour period.
With the price hovering above the key support level, a candle closing below the level on the higher time frames could provide aggressive sellers with a shorting opportunity towards the $13 price zone.