Ethereum Classic News – reportedly taking back control of the market bears. At the start of the year, the altcoin had a solid run. Starting at $4, the lowest it had been since December last year, Ethereum Classic (ETC) went on an 8-week consecutive rally. This was the most substantial run of all time for the cryptocurrency, gaining a whopping 295%.
The current crypto market is coming to terms with the latest developments in the market. Major crypto prices have been all over the place in the last 24 hours. Prices have taken a completely opposite direction from what they were last week. Bitcoin, for instance, was surging towards new yearly highs in last week’s rally. Today, it seems to have reversed the gains and is trading below $9k
Ethereum Classic News – The Weekly Chart
On the weekly chart, all signs indicate a pullback with a possible reversal of the gains registered in the year. The candlestick closures in the third week of February signified an upcoming change in trend. A bearish evening star formation was the final nail in the coffin after the rejection of the $13 territory.
The result of the evening star formation has been consistent weekly sales in the red. For three weeks now ETC/USD has been trading on the red. Thus, the #15 cryptocurrency has lost a third of its value since the formation. At the moment, the cryptocurrency was testing critical support areas on the downside of $9-$8.50.
The downward momentum is still strong although upward movements are still possible.
Ethereum Classic News – The Daily Chart
The daily chart view reveals that ETC/USD is breaking down support around $8.60. A further breakout and closure below will likely invite a strong downward pressure wave. The bear potentials will likely push for a reversal of 2020 gains.
Grayscale To Fund Ethereum Classic’s Development
The Ethereum Classic Trust announced a financial commitment to fund the Ethereum Classic blockchain in the next two years. The announcement was made late last week by ETC cooperative Bob Summerwill. Summerwill stated that the Grayscale Ethereum Classic Trust is committed to donating a third of management fee to the cooperative. The funds will be sent each quarter of 2020 and 2021.
Recent estimates show that Grayscale has donated about $1.1 million to the development of Ethereum Classic blockchain since 2017. Data from ETC Block Explorer show that Grayscale Ethereum Classic Trust is one of the largest investors of ETC. The trust holds an estimate of 14% of the total supply of ETC coins.
Thanks to this funding, ETC has begun working on its interoperability with sister blockchains via hard forks and system-wide updates.