Ethereum Classic (ETC) has attracted significant attention in the market due to its structure indicating a possible upward trend.
Examining the daily chart of Ethereum Classic reveals a promising uptrend, despite its current phase of retracement.
This retreat to the local support level offers a favorable opportunity for bullish investors to intervene and drive the price higher once again.
A closer look at the 4-hour chart shows Ethereum Classic beginning to gather bullish momentum, hinting at a potential breakout in the near future.
Increasing Social Dominance
An important factor supporting this optimistic outlook is the rising social dominance of Ethereum Classic. Based on our analysis of Santiment data, ETC’s social dominance currently stands at 2.07% and is steadily climbing.
Social dominance plays a significant role in shaping market sentiments, with its upward trajectory often correlating with price surges.
As more attention shifts towards ETC, this engagement could potentially fuel a strong upward movement, propelling the price higher.
Market Control by ETC Short Traders
Interestingly, short sellers presently dominate 54.6% of the Ethereum Classic market.
Such a high short interest indicates that a considerable number of traders anticipate a price decline. However, sustained bullish momentum in ETC could trigger a short squeeze, driving prices upwards.
Activity Among ETC Whales
Further reinforcing the positive sentiment, whale activity in Ethereum Classic has surged since October 9th. Whales holding over 5 million ETC now represent 57% of the total supply.
This data implies that any substantial movement by these large holders could lead to significant price changes in ETC.
With an expanding social dominance and evident bullish sentiment on both the daily and 4-hour charts, Ethereum Classic seems poised for a potential rally.