Ethereum Classic (ETC) has been on the headlines yet again and this time it is a major loss for the platform and an exposure of how the ecosystem is vulnerable to attacks. Losing over $1million worth of ETC might sound normal but the platform has lost a lot in terms of investor confidence.
The 51% attack has painted a new picture of the crypto market. The once stable platform has shown it is not secure enough to protect investor funds. However, the most interesting thing about the whole sage is that the ETC price has remained stable raising questions on whether there are under hands in manipulating it.
Is Ethereum Classic Price Action Manipulated?
Despite the dent, ETC price has not shown any sign of major loses. This has raised many questions with price manipulation being fronted in the last few days. Past attacks have shown major price shifts south. This happens when short term investors dump their holdings affecting the coin value, a case that did not happen with ETC.
The positive price holding could mean that it is being artificially engineered and hide the projects’ underbelly. Since the industry is not regulated, this could be a behind the scenes scenario. The entire world is watching and chances are that the current price might not hold long and if it does, the power of market whales is in play.
Ground Up Stability for ETC
Another explanation of the ETC price stability could be the coins fundamentals which are strong. This could mean that the coin is able to withstand such an attack and subsequently loses. On the other hand, the platform has a lot of support from its dApp front.
The other possibility would be that Ethereum Classic (ETC) is a fundamentally strong coin, which gives it the shock absorbers to take in such calamities and still survive. This possibility is strengthened by the fact that, crypto heavyweights like the IOHK have an interest in it. Besides, with Dapps in the ETC ecosystem on a growth path, investors could still have faith that it will recover, and as such are hanging in there for the long-haul. If the majority of people invested in it are HODLERs, then this may explain the lack of any major dump after the exit of the ETCDEV and now the 51% attack.
Crypto space is getting mature
The lack of any major dump on ETC could also signal to the fact that, crypto space is getting mature. In 2018, any hint of bad news coming up were wrecking the market. For instance, when Verge (XVG) was attacked, it was followed by an epic dump, one that it has never really recovered from. Even unsubstantiated rumors have led to massive dumps in the past. The Ethereum Classic (ETC) price stability could be an indicator that after a year-long bear market, investors are developing a thick skin. People could be taking a more long-term view of the market, and getting over the hangover of the 2017 Bull Run. If that’s the case, then it would be a reason to be long-term bullish not just on ETC, but crypto in general. That’s because it would lead to more stability and more sustainable value growth in the future.
Whatever it is that is holding up Ethereum Classic (ETC), one fact remains, it’s an interesting cryptocurrency to keep an eye on this quarter, both for those looking to short it and for long-term believers who think it can retest its all-time highs again.