Ethereum Classic price has come back to life after crashing to a multi-month low in March this year. It rose to an intraday high of over $44 as the altcoin season goes on. As a result, its total market cap has jumped to more than $5.8 billion, making it the 28th biggest coin in the world.
It is not alone as other altcoin prices have rebounded. For example, the Elrond price has soared by over 12% in the past 24 hours and 30% in the past seven days. Other altcoins that are doing well are IoTeX, EOS, Ave, and Xido Finance.
Selling the rumor, buying the fact
There are several reasons why altcoins like Ethereum Classic and IoTeX are soaring even after the hawkish interest rate decision by the Federal Reserve.
Last week, the Fed decided to hike interest rates by 0.25% in its bid to deal with the rising inflation. The dot plot showed that officials expect that they will raise interest rates six more times this year.
In a statement on Monday, Jerome Powell reiterated that the Fed will be more aggressive this year. He even went as step further and hinted that he will be supportive of a 50 basis point rate hike in the upcoming meeting. Therefore, there is a likelihood that this will be the most hawkish period that the Fed has been in a while.
In theory, the statements by the Fed should be bearish for stocks and cryptocurrencies. Therefore, a likely reason for the sell-off is that investors sold the rumours of the hawkish Fed and are now buying the fact.
Ethereum Classic price is also rising because analysts believe that it had become extremely cheap. Also, with Ethereum’s merge approaching, there is a likelihood that most ETH miners will start to embrace ETC mining instead.
Ethereum Classic price prediction
Turning to the four-hour chart, we see that the ETC price has been in a strong bullish trend in the past few days. Along the way, the coin has moved above the key resistance levels at $31.50 and $37.5. These were the highest points in February this year. At the same time, the coin has moved above the 25-day and 50-day moving averages while the MACD has kept rising.
Therefore, there is a likelihood that the Ethereum Classic price will keep rising as bulls target the key resistance at $50. It is then expected to have a pullback as profit-taking takes place.
Elrond price prediction
In my previous Elrond price prediction, I noted that the coin will likely keep rising with the next target being at $185. This forecast was accurate as the coin is now just a dollar below that level. On the 4H chart, it is being supported by the 25-day and 50-day moving averages and there are signs of bottoming happening. Therefore, the coin will likely extend its rally as buyers target the resistance at $200.
EOS price prediction
I consider EOS to be a ghost chain simply because of the emptiness of its ecosystem. Still, it has not been left behind in this altcoin rally since its price has risen by over 10% in the past 24 hours. On the four-hour chart, the coin is also above the short and long-term moving averages. It has also crossed the important resistance level at $2.30. Therefore, the bullish trend wil also likely continue in the near term.