As Ethereum Classic (ETC) community celebrates its second birthday since the fork happened after the DAO hack of May 2016, we look at the impact of recent developments of Ethereum Classic on determining ETC’s price. The coin was added to the Coinbase cryptocurrency exchange earlier in June with further addition to Bittrex exchange, representing two of the largest cryptocurrency exchanges in the world. However, with the former pushing the price up to above $20 USD on some exchanges, the latter exchange provided contrasting results.
Ethereum Classic journey in 2018
At the start of the blockchain revolution, termed the fourth industrial revolution, many of the investors and other stakeholders in the industry only focused on the adoption rate of their cryptocurrencies rather than price or technological development of the product. Fast forward to 2017, and most of the investors who entered the field, did so with a major goal of making insanely huge profits. The early investors in the field were able to fulfill their goals as the late entrants were left with losses after the massive drop of prices this year.
The goals for investing amongst various parties are slowly changing again with the interest lying on product development and partnerships made by these cryptocurrency firms. One of the coins that has achieved massive investment so far this year is Ethereum Classic (ETC), the original fork of Ethereum blockchain. Notwithstanding, the once abandoned platform has been added to Coinbase and Bittrex exchange earlier in the year. However, the Coinbase addition pushed the coin to $20 USD after announcement while the Bittrex exchange had low to no actual impact on the price but pushed the coin closer to decapitating Ethereum’s dominance in smart contract technologies.
Positive – The Coinbase listing effect on ETC price
The announcement that Coinbase was looking to add ETC among its traded cryptocurrencies on Coinbase Consumer without doubt pushed the “undervalued” coin to a price of $20 across some exchanges. The exchange has long been endowed with a kingly status amongst cryptocurrency enthusiasts with only a handful of cryptocurrencies currently listed for trade.
During the period of announcement till actual listing of ETC on the exchange saw the price increase by 37.5% in less than a month. In the crypto markets where people expect to make superficial gains, this return does not seem significant. However, the increase came at a time that the whole cryptocurrency market was falling hence showing the significance of a Coinbase listing.
Notwithstanding, during the period, ETC also gained listing on Robinhood exchange, an American based exchange with no commission fees.
Diluted impact after the Bittrex exchange listing
The announcement by Bittrex exchange team was made under different market circumstances as those witnessed during the Coinbase listing. First, the market was in a weak bullish momentum during the period causing the impact of listing to be diluted by the soaring market. Next, the Bittrex platform is seen as an easier option to list a cryptocurrency compared to Coinbase hence the news did not spread as far as it did with the latter. And finally, the addition to Bittrex was a case of when with the platform already having list hundreds of trading pairs on the platform.
These reasons coupled with other impact dilution factors, caused no major impact on the price of ETC as expected. During the announcement at the start of August, the coin traded at $18.50 USD and it has since dropped to $13.17 USD as per Coinmarketcap’s latest rankings.