Etc: Dollar-cost Averaging Can Be Used To Enter Long All The Way Down To…

Disclaimer: The data introduced doesn’t represent monetary, funding, buying and selling, or different varieties of recommendation and is solely the opinion of the author.

Over the previous month, Bitcoin [BTC] has shaped a variety between $22.6k and $18.8k, with some heavy resistance at $21.8k as effectively. The remainder of the altcoin market additionally shaped a variety. Ethereum Basic [ETC] was considered one of these cash. It provided a comparatively low-risk shopping for alternative to enter on the vary lows.

ETC- 12-Hour Chart

Ethereum Classic nears range lows, offers a buying opportunity despite the downtrend

Supply: ETC/USDT on TradingView

ETC shaped a variety from $13.55 to $17.55. The mid-point of the vary lay at $15.5, and over the previous month, this degree has been revered as each a help and a resistance degree.

Earlier than June, Ethereum Basic had been in a downtrend stretching again to early April. The market construction remained bearish, as not one of the important decrease highs have but been damaged. Quite the opposite, a degree of help from the mid-Could crash was retested within the current bounce to $17.5.

ETC- 4-Hour Chart

Ethereum Classic nears range lows, offers a buying opportunity despite the downtrend

Supply: ETC/USDT on TradingView

The four-hour chart confirmed a bullish order block for Ethereum Basic on the $13 zone, highlighted in cyan. This bullish order block sat proper beneath the vary lows.

Therefore, regardless that the short-term development over the previous week was downward, it seemed like a bullish transfer again above $15 might materialize.

Ethereum Classic nears range lows, offers a buying opportunity despite the downtrend

Supply: ETC/USDT on TradingView

The indications on the four-hour chart pointed towards a bearish bias for Ethereum Basic. The Relative Power Index (RSI) fell again beneath impartial 50 up to now week, whereas the Stochastic RSI raced towards the overbought territory. The On-Steadiness-Quantity (OBV) has declined over the previous two weeks.

With out robust demand, a rally may not happen within the subsequent few days. Therefore, aside from the $13 space, the OBV was additionally an indicator to control. The Chaikin Cash Stream (CMF) fell beneath the -0.05 mark a number of days in the past. This confirmed important capital move out of the market.

Conclusion

Regardless that the four-hour indicators confirmed a bearish bias for Ethereum Basic, the bullish order block on the vary lows was a good alternative to enter a protracted place. A good cease loss on the $12.2-$12.8 space can be utilized. Greenback-cost averaging can be utilized to enter a protracted place all the way in which right down to $13.

Nonetheless, since this commerce would go in opposition to the development, it might be riskier. Due to this fact, the place should be sized extra fastidiously.

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