ETC/USDT BUY | CRYPTO ACADEMY | S6T2 | TEAM TRADING CONTEST FOR REMINANE
Good day steemians, today I will be posting my trade details on the crypto pair ETC/USDT
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The Ethereum classic (ETC) is a cryptocurrency that was developed on July, 2016 due to the hack that happened on the original Ethereum blockchain. This hack resulted in splitting of Ethereum blockchain into Ethereum Classic and Ethereum which happens to be the newer version. This splitting was done to secure the network, the newer network which is Ethereum uses Ether (ETH) as it cryptocurrency while the older and original one which is Ethereum classic uses ETC. Vitalik Buterin who happens to be a Russian-Canadian computer programmer is the brain box behind this crypto project. However in March 2017, the Ethereum classic community agreed to cap the ETC circulating supply at 210 million and subsequently between Jan 2019 and November 2020, ETC was hit by multiple 51% attack due to the poor security of the network. It is to be noted that Ethereum classic is an open-source decentralized blockchain that allows decentralized applications (dAPPs) to be built on it. The dAPPs are run on distributed ledger that uses smart contracts which enables people to exchange money without the involvement of a middleman and the network uses the proof of work consensus mechanism.
The image above shows the current market details of ETC in the coinmarketcap. The ETC coin is currently ranked number 36 on the coinmarketcap with a current price of $29.78, circulating supply of 133,308,687.22 ETC and a 24hrs trading volume of $431,612,926.
On Dec.24 last year, there was a positive news on the Ethereum classic community, the news broke out that the ETC cooperative which is a public charity that support the growth and development of the ETC network would fund the development of the Core-Geth client which happens to be the Ethereum classic's main node by January this year. The news has helped ETC price to move up a bit and I'm quite sure once the crypto market gets back to bullish run, the ETC coin will gain some momentum and rise further in value.
Looking at the chart above, I can see that the price of ETC reverse after touching the support and I think if it can manage to break the resistance at 37.73 then it can possibly rise further to 56 before the end of the year.
In this section, I will be trading the ETC/USDT crypto pair and I'm going to be using the MT5 trading platform to carry out my analysis using multiple timeframe. To start with let's check the daily timeframe.
As seen on the chart above, we can observe that price tested the support and pulled back in a Bullish reversal, also, I can notice a Bullish candle engulfing. The position of the stoch and RSI also indicates that price is in an oversold condition and could go up soon. Let's check the 4hr timeframe for a clearer view.
I can observe on the 4hr chart above that price is trying to break a resistance level and it's forming a new support. I also observed that price initially reversed in a downtrend after it formed a double top (M-shape pattern) as seen on the chart. Let's move down to 1hr timeframe to get a clearer picture.
We can see here that the price is still trying to break the resistance level turned support also the RSI and stochastic Indicator are both indicating an oversold market which means if this price manages to break the resistance, then price will shoot up and go uptrend. Let's check a lower timeframe to place our entry.
After waiting for some mins, i noticed that a strong bullish candle engulfed and broke the resistance as seen on the chart.
I proceeded to place a BUY ENTRY at 27.835 as indicated on the chart. I placed my stop loss at the resistance now turned support and my take profit at the next support turned resistance giving me a risk to reward ratio 1:2.
Hours later, I checked the 15 mins timeframe and I saw that price has gone up in the direction of my trade.
This is the result of the trade as seen above, I closed the trade after making 70.38% profit which gave me $0.72 profit.
The two images are trade history of this crypto pair, my entry point was 27.835 and I exited the trade at 28.862.
I do not plan to hold this coin for long, I took a short-term trade on this crypto pair and closed the trade with profit. Personally, I'm not too convinced about this project to buy this coin and HODL. I would rather buy the sister coin Ethereum rather than ETC.
There are still huge concerns over the security and scalability of the ETC coin. The ETC network can only process 15 transactions per second which is too low. And for a network that has once experienced an hack and lost billions of dollars, investors are still doubtful of putting bigger funds into the project although we can't take away the fact that the Ethereum classic network has gone through many software upgrades in recent times. Likewise, the ETC blockchain have very low rate of users when compared to sister coin ETH, this low amount of users makes it vulnerable to attack, remember i made mention of it earlier in the previous section that between 2019 and 2020, a hacker was able to gain control of the ETC network and the network was struck by 51% attacks whereby the hacker was able to alter the blockchain ledger and manipulated the network's computing power, by so doing, the hacker was able to get more ETC.
Judging from the above explanation, I do not recommend this coin for investors although this statement and recommendation is subject to my research and findings.
Let's quickly check the ETC blockchain explorer where we can get to interact with the ETC network and blockchain.
As seen above we can see the number of transactions carried out so far, transaction volume, ETC current price and circulating supply.
These are the generated blocks above
The image above also shows the latest transactions happening on the blockchain.
To cap it all, I will like to mention some notable sites where the ETC coin can be bought or traded. We have ; Binance, Coinbase, Coinmama, Kraken, Gate.io, KuCoin, BitYard etc.
In this study, have been able to discuss the Ethereum Classic cryptocurrency in relation to it historical background, key informations, price projection and my recommendation.
Also, I was able to place a trade on the ETC/USDT crypto pair which yielded profit. However, I will like to emphasize that all informations provided in this post are subject to my research and personal findings. I will encourage anyone who wants to invest in this coin to also DYOR.
Special thanks to the team leaders professor @reminiscence01 and professor @nane15 for their guidance and support
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