cryptonews.com
Notably, the rally for ETC comes as the best-known version of Ethereum is moving closer to transitioning to proof-of-stake (PoS) as its consensus mechanism, leaving the miners who currently support the network in an uncertain situation.
Ethereum Classic, on its end, has vowed to continue operating with the original proof-of-work (PoW) algorithm, which could attract some Ethereum miners to switch to Ethereum Classic.
“With the approaching of Ethereum POW to POS, ETC may undertake some miners' hashrate and become a object of capital speculation,” Chinese crypto-focused journalist Colin Wu wrote on Twitter on Sunday.
A stagnation of the hashrate on Ethereum has already been seen over the past two months, although there are no signs yet in the data that suggests more miners are moving to ETC.
Ethereum hash rate past six months (7-day moving average):
Meanwhile, ETC is looking bullish at the moment based on shorter-term technical analysis after yesterday’s surge brought the token above a recent high in the USD 36 to USD 37 area. Further, the last low in the price from mid-March marked a third ‘higher low’ in the daily chart of ETC, which is often seen as the beginning of a new uptrend.
Worth noting, however, is that the relative strength index (RSI), a popular indicator for the momentum behind price changes, is at its most overbought since August 2021. An overbought reading on the RSI could indicate that the rally will soon end.
Price of ETC/USD:
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Learn more:
- ETC Upgrade
- Ethereum Miners Can Transition to These Coins and Boost Their Values
- How ‘Bitcoin With Smart Contracts,’ Ethereum Classic, Outperformed ETH
- Original Ethereum Outperforms ETH Despite Its 'Institutional Evolution'
- BitMEX Finally Welcomes Ethereum as Spot Platform Nears; Launching APE Perpetual Futures Market
- Ethereum Moves Higher Against Bitcoin on a Wave of Positive News