Prominent cryptocurrency analyst Alan Santana has spotlighted Ethereum Classic’s (ETC) ongoing price consolidation as a critical indicator of a potential bullish surge. According to Santana, ETC has been in its “longest accumulation phase ever,” with almost three years of sideways trading keeping the current price range intact since January 2022. For investors, this extended period of accumulation could signal the foundation for a powerful bull cycle.
ETC Accumulation And Historical Cycles
Santana’s analysis links Ethereum Classic’s current cycle to its previous bull market patterns, notably from 2018 to 2021. During that period, ETC’s accumulation phase lasted around 805 days, followed by a significant price drop in March 2020. However, by 2021, ETC surged dramatically, reaching a stunning 5,700% increase from its lowest point to peak. Santana highlights that this previous cycle demonstrates how a lengthy accumulation does not necessarily coincide with a price bottom, adding complexity to predicting exact breakout timing.
In the current cycle, ETC’s accumulation phase already spans 1,522 days, with a recent bottom set in June 2022. Santana’s optimistic forecast suggests that Ethereum Classic could see gains of up to 3,500% from its June 2022 low, with potential price appreciation ranging from 1,300% to 2,150% based on ETC’s chart patterns. Santana believes that ETC’s well-established reputation in the crypto space, combined with positive market sentiment, strengthens its position for a notable breakout.
A Bullish Market and Regulatory Environment
Santana attributes this favorable outlook partly to what he describes as a “friendly market and regulatory environment” for cryptocurrencies like Ethereum Classic. While smaller projects might achieve even steeper gains, ETC’s status as a longstanding player in the crypto ecosystem could give it a distinct advantage. “This has never happened before,” he noted, referencing the unique market conditions that may be aligning to support ETC’s performance.
As of this writing, Ethereum Classic is trading around $20.09, having seen a 9.43% increase over the past week, pushing its market capitalization to approximately $3 billion. While this price remains far from Santana’s projected peaks, his analysis indicates that ETC’s prolonged accumulation may be a precursor to a massive upward trend, echoing the trajectory of past cycles.
Developments in the Ethereum Ecosystem
Meanwhile, the Ethereum Foundation recently launched the Mekong Testnet in preparation for the Pectra fork update, which could impact Ethereum and its offshoots, including ETC. The Mekong Testnet allows developers and stakers to simulate real-world scenarios, ensuring a seamless transition to the new fork. Although Ethereum Classic operates independently, advancements in the broader Ethereum ecosystem often draw investor interest toward ETC due to their shared heritage.
With market momentum building and a promising technical setup, Ethereum Classic is a project to watch. If Santana’s forecast proves accurate, ETC could become a standout performer in the upcoming bull cycle.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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