Before yesterday’s marketwide-dump due to the Bitcoin ETF decision being delayed, Ethereum Classic‘s price had increased by 37% in the last 4 days as Robinhood added support and Coinbase is next.
As stated in the official blog post zero fee trading app Robinhood has announced that their users can now invest in Ethereum Classis. Meanwhile, Coinbase is finishing final preparations for the listing of ETC that is scheduled for today.
We expect final testing to be completed by Tuesday, August 7, at which point we will announce that we’re ready to accept inbound transfers of ETC. We intend to allow 24–48 hours of inbound transfers through Coinbase Pro and Coinbase Prime before enabling trading.
What does this mean for the price of Ethereum Classic? The implications have already been taking effect and reflected positively on the price. Will this hype based momentum endure or will it be short-lived? Let’s look at what the charts are saying.
Looking at the daily chart we can see that the price has been stopped out at the resistance found on the past strong support which is the baseline support.
The price went above the line but has pulled back quickly leaving a 7,29% wick on the daily candle which indicated that the price has entered sellers territory.
The other line the price is currently interacting with is again on the daily chart and it’s this descending channel’s resistance line.
As you can see, the price has encountered strong resistance. Because the price has broken out off of the falling wedge in which it was correcting from 14.01.2018 we can imply that the current wave is impulsive in nature and knowing that there is a fundamental reason behind the increase in price we can be more certain.
I have projected the potential target for this current wave and its from 24-25,8$ on the levels of the prior high.
Although this current wave is impulse it is still a part of the corrective structure and after it ends, I would be expecting a lower low much like it happened 4 prior times.
The current minor 12345 wave is actually the part of intermediate wave X from the third WXY correction. After wave X retest or gets close to the 25$ level the price is going down again potentially to a lower low or at least the prior low at the 0 Fibonacci level or in price terms around 12$.
So to recap today’s analysis, my Elliott wave count is telling me that the price has a little more room for growth before it gets back to the levels from were this increase started or fall below those levels to create a lower low inside the descending channel.