Chart for ETCUSDShorts (1W)
The whole cryptocurrency market is exploding. Bitcoin (BTC) shorts saw a 20% decline. The same goes for Ethereum (ETH) which declined more than 20%. Ripple (XRP) shorts declined around 18%. Ethereum Classic (ETC) shorts climbed 20%! What?! Even though the price of Ethereum Classic (ETC) climbed above $ 10 with a 8% growth, the number of shorts climbed even higher. Why is Ethereum Classic (ETC) behaving differently than the rest of the market? Why is somebody trying so hard to keep the price of Ethereum Classic (ETC) down? Let us take a moment to examine why.
Ethereum Classic (ETC) is a cryptocurrency that went from a dead coin to a hidden gem of a coin. What does this mean? It means that a lot of big players now want this cryptocurrency. However, this is not Bitcoin (BTC) or Ethereum (ETH) or even Ripple (XRP). You cannot buy significant quantities of Ethereum Classic (ETC) over the counter. Of course, the whales are not going to buy on exchanges, not just yet. So, in the absence of a large number of sellers, they have to keep the price down till they are done buying. An early Ethereum Classic (ETC) investor, Tai Zen said a few years back that some large institutions are accumulating Ethereum Classic (ETC) for long term. He went on to say that it was not clear to him what the purpose of this accumulation was, but that these institutions see future potential in cryptocurrency.
Chart for ETC/USD (1W)
Smart money has been accumulating Ethereum Classic (ETC) when most people in the crypto community considered it a scam. Most of us realize now why they were doing that. When I first came to know that Grayscale was holding way more Ethereum Classic (ETC) than Ethereum (ETH), I was pretty surprised. I knew Ethereum Classic (ETC) was an immutable and decentralized blockchain but most investors don’t care about principles. They invest in anything that can turn in a sizeable profit in the long run. We have seen this happen in the case of countless projects and ICOs in the past. Anyway, when I realized what the ETC Dev Team was up to and what their vision was, I knew there was something special about this project.
Chart for ETC/BTC (1W)
Of course, the team made good on their promise of immutability and decentralization. While most people in this space are focused on shiny Dapps and ‘cool graphics’, Ethereum Classic (ETC) has remained focused on the fine print, perfecting their creation. However, we still see a large number of people attacking this project. The whales or the smart money that is accumulating is not going to stop them from doing that. They are going to allow them to push the sentiment down as low as possible so they can buy at lower prices. In addition to that, we see a large number of people shorting Ethereum Classic (ETC) even at current prices! As ludicrous as it sounds, this is a reality visible in the form of the large number of short orders on exchanges like Bitfinex and Bitmex. The real whales definitely have a game plan for doing this, but for the retail trader posing as a whale, it never ends well.
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