Ethereum (ETH) creator Vitalik Buterin addressed those who prefer Proof-of-Work networks. He invited people who prefer Proof-of-Work over Proof-of-Stake to use the Ethereum Classic (ETC) Blockchain. Here are the details…
Vitalik Buterin recommends ETC
Speaking at the EthCC conference in Paris, Buterin discussed the upcoming Merge, an event that will mark the Ethereum blockchain’s transition from Proof-of-Work to Proof-of-Stake. Buterin referred to Ethereum Classic as the “original Ethereum” that did not betray his vision by forking the DAO. Buterin said that ETC is a very hospitable community. Buterin used the following statements:
It’s a very welcoming community and I think they will definitely welcome Proof-of-Work fans. It’s not a joke. If you like Proof-of-Work, you should use Ethereum Classic. A totally good chain.
cryptocoin.com As we have also reported, market participants are waiting for the transition from PoW to PoS on the Ethereum chain. This situation is expected to lead miners in the ETH network to Ethereum Classic. Hence, Ethereum Classic has seen a significant amount of price action over the past few weeks. When Ethereum officially switches to PoS, Ethereum Classic will be the second largest PoW network after Bitcoin.
Latest developments in Ethereum Classic
Ethereum Classic is the closest to Ethereum in terms of network design and compatibility. Because Ethereum Classic is the legacy chain that left Ethereum after a contentious hard fork in July 2016. Speculators therefore expect Ethereum Classic to be the first choice for miners migrating from Ethereum. This is probably one of the main reasons for the recent price increase of ETC.
From a technical standpoint, Ethereum Classic is wobbly under pressure from its 200-day exponential moving average (200-day EMA) near $27.35. ETC/USD witnessed a strong bearish divergence near wave resistance on July 19. This is confirmed by the largest increase in daily trading volume in almost a year. Additionally, rejection came in after testing the 0.382 Fib line as resistance near $27.47.
ETC is now consolidating in the $22-25 price range with a temporary downward trend due to the “overbought” relative strength index (RSI). If ETC breaks below $22, 25 percent lower than the price of July 22, it expects a drop close to its 50-day EMA of $19. Conversely, a successful break above $25 and the 200-day EMA could extend the price increase of ETC above $30.
