Ethereum Classic Rallies on Successful Hard Fork
In Q2, 2021, Ethereum Classic (ETC) was predicted to be the second-best winner. ETC was trading at $47.84, down 8.8%, after hitting about $53, reflecting a gain of roughly 10% yesterday. The cryptocurrency has seen increases of 25%, 6%, and 32% in the last seven days, fourteen days, and thirty days, respectively. ETC has grown by approximately 700% in the last year. ETC offers a highly interesting future from a technical standpoint.
Numerous buyers are anticipated to throng to the cryptocurrency after a positive start this month. ETC might continue to rise and revisit its previous high of $60. Grayscale’s latest trajectory, on the other hand, has caused some investors to fear. According to the business’s data, the asset manager has been cutting down its ETC holdings.
Many ETC supporters expect more positive forecasts for the cryptocurrency based on its development cycle. On-chain measurements, on the other hand, appear to imply the reverse. The altcoin’s development phase, for example, was on a downward trend, with the latest overhauls recorded in January 2021.
As per LunarCrush, current market attitudes are likewise negative. In addition, the count of active addresses and 24-hour trades on ETC fell just under the levels seen in May. Grayscale, a crypto investing behemoth, has been liquidating its ETC holdings over the previous four months. The business has liquidated 28,382 ETC in June, reducing its holdings from 12.54 million to 12.32 million. Such behavior indicates a negative prognosis for ETC.
Grayscale originally backed ETC and even developed an investing strategy forecasting an eight-fold increase in ETC’s value to $125.40. During the latest bull run, ETC reached and exceeded this milestone, reaching an all-time peak of $179.83.’ Ethereum Classic just reported a flawless hard-fork execution on Twitter. The upgrade, codenamed “Magneto,” was initially discussed on June 11, generating anticipation for an ETC price increase as an outcome.
🎉 The #EthereumClassic #MagnetoHF hard-fork activated successfully.
– hash-rate stable
– majority nodes updated
– major service providers updated
Please update your #ETC nodes if you have not done so already as Magneto contains an important security patch. Good work #ETCArmy! pic.twitter.com/JY0ipn1wx6
— Ethereum Classic (@eth_classic) July 24, 2021
A price increase was also predicted because Ethereum’s senior developer, Vitalik Buterin, is an ETC validator. The hard fork, which was initiated at block 13,189,133 in Ethereum’s Berlin upgrade earlier in 2021, consisted of Ethereum Improvement Proposals (EIPs). The hash rate is steady, according to Magneto’s creators, and the bulk of nodes along significant service providers have been upgraded.
Binance, for example, was one of the first exchanges to embrace the hard fork. Among many other things, the update adds much-required network safety, cost-effectiveness, and minimum energy usage. Its results are the product of months of testing and tweaking on numerous testnets.
ETC has gained 24% after the update was announced on July 24. While the current news and positive outlook are reasonable, if the downturn extends below $45, things may go wrong for ETC.