Daily Timeframe Analysis
Ethereum Classic Analysis for today is presented using a log scale on the Daily timeframe. Close examination of chart patterns that are relevant to future price development in Ethereum Classic reveals a bearish channel that lasted for over 14 months.
The bearish trend appears to have terminated on May 15, 2019 with a breakout and price close above the channel. Price action between 9.47 and 8.28 indicate the horizontal level that provides immediate resistance for the price of Ethereum Classic. Besides, the blue ellipse highlighted on the chart shows that the price levels mentioned above had previously provided support for Ethereum Classic between September and November of 2017.
The sell off at 8.28 indicates a change in polarity suggesting that the previous support level is now acting as resistance for price action. Last but not the least is the 50 Moving average (MA) and the 200 MA. Both indicate or provide additional evidence for a bullish strength to increase ever since the May 15 breakout of the bearish channel.
Buy Ethereum Classic on a breakout above the upper boundary of immediate resistance at ~9.47.
Key levels to focus on: 9.47, and 8.28 (based on data from BITFINEX).
Outlook: The width of the bearish channel in this case is highly invaluable for projection i.e. price level to take profit. Bottom and top boundary of the channel are estimated as 5.19 and 18.32 respectively.
Width of the channel therefore = 18.32 minus 5.19 = 13.13.
Adding this to the breakout point (i.e. 9.48) = ~22.61 (profit target for Ethereum classic).
Stop loss for the above scenario can be placed just under the lower boundary of resistance (8.28) or below the 50 moving average.
Note: Prices can vary between Ethereum Classic exchanges. As a result, there may be differences in the charts provided above due to different data sets.