61.8% is a Golden Retracement level, and ETH Classic has recovered much faster than the entire network and is on the cusp of a 61.8% Golden Reversal at $45. ETH Merge is the event that will push ETH Classic above this golden retracement level. Further, all indicators, whether short or long-term, indicate a buy.
Technical Reasons for Ethereum Classic Breakout
The relative strength index is very close to 60, the upper limit for RSI in a bear market. If the RSI figure goes above 60 in a bear market, it is considered a clear Breakout and reversal of bearish sentiments.
The Moving Average Convergence Divergence line has crossed the trend line on daily charts. This indicates bullishness in the near short term, possibly a week to a month.
Fibonacci Retracement data says that at $45, the 61.8% golden retracement level will be encountered. If Ethereum Classic holds or trades above this level, it will be a Golden Retracement opportunity that will push the cryptocurrency above all-time highs of $64.94.
Qualitative Reasons for Ethereum Classic Breakout
The most common qualitative reason for Ethereum Classic to Breakout for a new all-time high is its demand among the miner community.
After Ethereum Merges to the Proof of Stake consensus mechanism, ETH miners will have $15 billion(MSN Report) worth of equipment lying idle, which can be repurposed to mine ETH Classic as both run on the same mining software(with small modifications).
Ethereum Classic Price Prediction
If the Golden Fibonacci Retracement occurs, it will push ETH Classic above an all-time high of $65.
Target: $65 till the end of Sept.
Stoploss: $32, near-term support that has been tested multiple times.
It is risky to trade without a stop loss as it can cause a complete loss of funds in volatile markets.