According to a new report, it turns out that 69% of ETC holders bought the altcoin during its all-time high in 2018 when it was at a price of $47. In our latest Ethereum classic news, we find out more about this analysis.
Ethereum is now valued at $6.40 and the drop in returns could be a huge factor to the negative sentiment surrounding ETC. According to a tweet, 69% of ETC holders bought the digital asset during its all-time high in 2018 and the team at Ethereum Classic outlined this fact by retweeting a similar analysis done by @ClassicIscoming which explained that about 1 million addresses bought the cryptocurrency in 2018.
Over ~69% of all ETC accounts bought at or near the top… https://t.co/Xva3jiF2PL
— Ethereum Classic (@eth_classic) July 6, 2020
Taking another look at the charts shared by @ClassicIsComing, and keeping in mind that the analysis was done when ETC was at $5.76, more than 29% of ETC holders are in profits with their investments. The fact that this high of a percentage of ETC investors purchased the coin could explain the general negative sentiment to the digital asset. This is further illustrated by the ETC Sentiment Momentum. According to BittsAnalytics.com, ETC has a sentiment momentum of -1.6 while the sentiment for Bitcoin is 98.7 on the same platform.
Switching the attention to the daily ETC/USD chart, we can see that Ethereum Classic experienced a short resurgence on the market and the trading volumes are in the green while the MACD crosses in bullish territory below the baseline. MFI is showing some bullishness as well at the value of 47. ETC’s current price of $6.40 is below the 50-day and 200-day moving averages. These two moving averages printed a death cross around the 21st of June and could be problematic for the future of Ethereum Classic.
ETC has to go higher above these moving averages to confirm the bullish trend. A short term resistance includes $6.42, 6.53, and $6.60. Looking at the price on a macro level, the 200-day moving average provides another area of strong resistance at $6.90. Summing it up, 69% of ETC holders purchased the coin near the 2018 top which translates to roughly 1.23 million ETC addresses. The fact that ETC is yet to reclaim the levels on the markets, it could be a contributing factor to the negative sentiment towards ethereum classic. Taking a look at the charts, Ethereum Classic has a long road ahead in reclaiming the 2018 high of $47.
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