The cryptocurrency market continues to trade in a bull zone, but Ethereum Classic’s price is still not able to surpass $6 resistance. Ethereum Classic (ETC) might still be undervalued despite all the problems, and some predictions say that this cryptocurrency could be again above the $40 level.
Fundamental analysis: Ethereum Classic might still be undervalued
Ethereum Classic is a smart contract platform with its own cryptocurrency ETC. The main advantage of Ethereum Classic is that this platform is more secure than Ethereum’s platform.
Starting life as Ethereum, Ethereum Classic came into existence on July 20, 2016, and it is important to say that it has a total supply of around 210 million coins, unlike Ethereum, which has no limit.
This platform has an active community and allows people to exchange money, property, shares, and provides a way to manage digital assets without the need for intermediaries. According to the official website, Ethereum Classic is one of the purest decentralized projects in the cryptocurrency space with a bright future.
This cryptocurrency is tradable on many exchanges, but the price of Ethereum Classic (ETC) has been moving in a downtrend since the beginning of the 2018 year. The main reason for this is a low transaction volume, and there’s still a level of uncertainty surrounding the project.
Despite this, the ETC price could explode again, and now could be a good time to buy Ethereum Classic (ETC). Ethereum Classic might still be undervalued despite all the problems, and the price of this crypto could advance in January above the current price levels.
Technical analysis: Bulls are focused on breaking the resistance level at $6
Investors in Ethereum Classic should have in mind that this is a still very risky cryptocurrency, but the price could explode again and even reach new highs. On the chart below, I marked important resistance and support levels. The important support levels are $5 and $4; $6 and $7 represent the resistance levels.
Data source: tradingview.com
Ethereum Classic has weakened from $13 below $4 since February 2020, and the current price stands around $5.6. The main reason for this is a low transaction volume, but Ethereum Classic is a cryptocurrency that you should not ignore, and the price of this crypto could stabilize in January above $8.
If the price jumps again above $6, the next price target could be around $7, but if the price falls below $4, it would be a strong sell signal.
The cryptocurrency market continues to trade in a bull zone, but Ethereum Classic’s price remains in a bear market. There are some obvious risks when it comes to buying Ethereum Classic, but if the price jumps above $6, it would be a signal to buy this cryptocurrency, and we have the open way to $7.
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