Is Ethereum classic a good investment?

  • Is Ethereum classic a good investment?

    Ethereum classic received three attacks, the last one on August 29 2020 with 51%, but the development team will carry out a defensive plan to overcome the attacks.

    According to a report by blockchain analytic firm Bitfly, which tweeted about the attack, it said that there had been a 51% attack on the ETC network which led to a reorganization of up to seven thousand blocks which is the equivalent of two days of mining.

    The attacker hired a hash power to control the Ethereum classic network and made double-spend transactions to steal funds.

    No doubt this is causing the value of ETC to decline, but a planned move to go defensive is good news, and is this the reason that Ethereum classic is a good investment asset for the future?

    What is Ethereum Classic?

    Ethereum classic is the result of the Ethereum hard fork, but this hard fork was motivated by the events of The DAO which was hacked.

    While developers are busy fixing programming code bugs, hackers have managed to steal funds in the form of Ether from The DAO's ICO of 3.6 million US dollars. Due to this incident, the Ethereum price immediately dropped from $ 20 to $ 13.

    When the hacking event occurs all funds raised from The DAO's ICO are kept at the same address/account making it vulnerable to security.

    This is because the developers of The DAO did not think that they would raise such a large amount of funds.

    Some believe that hackers stopped stealing Ether after hearing of the Ethereum hard fork plans.

    At that time the DAO kept 15% of the total circulating ether. The DAO hack had a very bad impact on the Ethereum ecosystem.

    This condition caused Vitalik Buterin and the leaders of the Ethereum Organization, not to stand still and will take the necessary steps.

    Ethereum plans to use a Proof-of-Stake system in the future so that whoever person or group controls 15% of the circulation of Ether, of course, will have too much control over Ethereum.

    Ethereum hard fork

    Finally, the Ethereum team did a hard fork as they had planned on the 1,920,000 blocks. The hard fork aims to "recover" the stolen funds from The DAO's ICO. This hard fork is supported by most of the Ethereum miners.

    However, some miners disagree with this hard fork. Their considerations are:

    • Blockchain is supposed to be immutable. Whatever has happened on a blockchain, it shouldn't be undone.

    • Code is law

    • This hard fork is considered like a bank or corporate bail-out, which is common during times of monetary crisis.

    With the above premise in mind, a small percentage of Ethereum miners decide not to upgrade their software and stick with the old Ethereum system. This old Ethereum system was eventually referred to as Ethereum Classic.

    What difference Ethereum classic vs Ethereum

    After the hard fork, the old platform got branding with the new name being Ethereum Classic and the new platform keeps the branding name Ethereum.

    When compared from several points of view the Ethereum classic vs Ethereum variable is superior to new platforms. Ethereum classic is currently ranked 32 on the Coinmarketcap rating site. And Ethereum is still the leading crypto in second place after the king of the Bitcoin coin.

    In terms of functionality, the two chains are the same because they come from the same chain. But in terms of progress, the new chain will be better equipped with the latest updates and continuous improvements of the system as the core developers working on ETH, the new chain. 

    From a user point of view, it is very important to use a platform that has constant scrutiny and improvement from a growing team. From a trader's perspective, both coins can give a profit.

    In terms of popularity, Ethereum is better known than Ethereum Classic because ETH is in the top ten rankings, while ETC is far away at 32 at the time of writing.

    Larger developer community on the Ethereum network so that more decentralized application developers are available for various functions.

    And there are reports that many home loan projects use the Ethereum Blockchain network.

    Is Ethereum classic dead?

    After the Ethereum hard fork, which later turned the old platform into Ethereum Classic, and the new platform continued to use the Ethereum name, eventually, many people moved to the new Ethereum platform. Including the miners do the same because the new platform allows better growth. Plus the founder of Ethereum Vitalik Buterin also leaving the old platform called Ethereum classic.

    This adds to the fact that Ethereum classic is sinking even further and is currently worth $ 5.94 from an all-time high of $ 46.98.

    Ironically, in one month Ethereum classic got hacked as much as 51% in August. This makes things even worse for ETC.

    Some think that the Ethereum classic is old. But according to analysts from Ambcrypto, saying that it is time to buy ETC, although it is not investment advice, it has some basic reasons.

    • If ETH migrates from PoW to PoS, it can cause Ethash to remain in all ASIC miners. When the ETH hash rate is 249,457 GH /s, the basics of ETC will likely be stronger than ever. So that it can push prices up.

    • Major exchanges such as Coinbase, Binance, Poloniex, etc. have not removed from the listings, meaning that demand is still considered high, despite a 51% attack event. ETC is still accessible to the general public through exchanges.

    • The price is already deemed too low after 2017 highs and is consolidating. And again the news about the shift of ASIC miners from ETH to ETC will probably push the price higher.

    The reason to buy ETC above is assuming the miner raises the value of ETC after ETH 2.0, however, if ETH splits it will reduce the success of ETC.

    Ethereum classic price predictions

    Ethereum classic is currently ranked 32nd, on the ranking site Coinmarketcap, competing with ZCASH and Binance coins.

    With a market capitalization of $ 600,592,606 and a coin supply of 116,313,299 ETC, the maximum supply of ETC is 210,700,000 ETC.

    At the current price of $ 5.16, will ETC be able to return to its high profile as it was at the end of 2017 last year?

    Comparing analysis from several forecasting sites, it can be concluded that in general, Ethereum Classic investment provides a good potential gain in the future.

    The following are future Ethereum Classic price predictions from several popular forecasting sites.

    Wallet Investor price prediction ETC forecast

    Wallet investors are a popular forecasting site, their predictions include Crypto, forex stocks, commodities, real estate, and funds forecasting.

    Based on the analysis they did for ETC investment in a year may be bad, for now, the price of ETC is $ 5.94, but in a year it is likely to be devalued.

    Compared to the current value, the forecast results of BTC prices are predicted to fall by more than -89,734%. at $ 0.528.

    Short-term ETC price prediction

    In the short term prediction, the change will only be worth around $ 5.00 to $ 5.53, this can be seen from the image below:

    Image source Wallet investor

    Long-term ETC price prediction

    In the long term, the value of ETC by Wallet investors states that it will experience a very bad decline in value so that the value of ETC is even close to zero. Below the image:

    Image by Wallet investor.

    Regardless of how high the prediction accuracy is for the future, ETC seems to be still struggling so that it can compete with other tokens.

    Gov capital price prediction

    In contrast to the Wallet Investor analysis, the analysis of Gov Capital states that the ETC trend is in a bullish tendency. It is estimated that the value of ETC for the future could reach $ 13,908, which compared to the current price the potential gain is around 14,213% for the forecast one year.

    For example, this month you bought ETC with a value of $ 100 at the moment, then in the future, you will likely gain around $ 114,213.

    Short-term price analysis

    On the short-term prediction, ETC will reach $ 5,568 on October 19, 2020. and the price is expected to fall the following day.

    Image by Gov capital

    Short-term predictions allow the price to move in the range of $ 4.9 to $ 5.7, so traders may have to be patient with waiting for the lowest price before making a buy.

    Long-term price analysis

    Meanwhile, the long-term prediction by Gov Capital shows there will be an increase in value in 2022 where it is estimated that the value of ETC can reach a price of $ 11,115.

    Overall analysis by Gov Capital shows a graph that tends to be bullish, although there are times when it goes down, it is only a temporary wave, and in the long term, ETC is considered to be giving good gains.

    Crypto-rating ETC price prediction

    According to the Crypto rating analysis for the ETC price prediction, it is estimated to decrease in the short term daily and monthly, while in the long term during the year the potential gain of ETC is 5.86%.

    Just like other forecasting sites, Crypto-rating also performs analysis based on past data or by technical analysis by utilizing certain variables to be calculated in a formula.


    Digitalcoin ETC price prediction

    Digitalcoin predicts that ETC with the highest price can reach $ 28.07, and they consider that ETC is a profitable asset for the long term. While the lowest price prediction is at $ 4.14.

    Take a look at the graph prediction below

    Based on the analysis chart above, it shows that in 2025 the ETC price is estimated to reach $ 21.38.

    Even though ETC recently experienced an attack that resulted in the token being stolen, several forecasting sites still predict prices can go back up to what it used to be.

    This means that there is still a lot of enthusiasm for increased volume for ETC in the future, as this includes many traders trading Ethereum Classic tokens.

    ETC  short term price analysis 05 October 2020

    Currently, the ETC token is priced at $ 5,960 on the Bitfinnex exchange on the Tradingview chart.

    In the 1H timeframe, there is a very low movement and candlesticks lined up during the day indicating the price is in a high to low range. Based on observations of the current trend that is formed, it is still predominantly bullish.

    Take a look image below

    Chart by Tradingview

    The image above shows the ETC/USD pair on the Bitfinnex exchange, volatility decreases in 1H, and Bollinger bands are squeezing the price.

    Based on the current MACD indicator, there is a downward trend indicated by the histogram appearing below the 0 levels, however, the MACD line and signal line tend to give bullish signals. If there is a break in the upper band the price may rise higher

    Looking at the composition that tends to be bullish on the daily timeframe, perhaps the best option is to wait for an opportunity to open Buy at prices in the lower band or middle band zone.

    Conclusion

    Ehereum classic's future growth will still be a puzzle that is currently unanswered, but when prices are considered too low, investors will often start to take risks to hold back in the long term.

    Mainly large investors because the gain on a large amount of investment will be proportional to the overall gain. ETC once reached an all-time high, and history could repeat itself. Buying assets at low prices is a great way to invest in the long term.