Coinbase makes up for one of the top exchanges in the world of cryptocurrencies, mostly due to the fact that this exchange represents a direct connection with the US market while being regulated and used by many big-time investors who put their trust into this platform.
That is how a Coinbase listing always means a great deal, although any listing by itself is always a great boost for any digital asset, mostly due to the increased exposure of the asset to the market and potential investors. That is how Ethereum Classic (ETC) seems to be regaining momentum with an announcement that came months ago from Coinbase, stating that this exchange platform will be adding ETC to its list of trading coins.
Coinbase Turns into Price Injection for Ethereum Classic
Ethereum Classic was born out of the rebellion on the chain caused by a bizarre DAO mistake that occurred on Ethereum chain, that way forking out ETC.
Since then, Ethereum Classic (ETC) has managed to set its all-time high of around 45$ per one ETC back in January when over 90% of currencies have reached their record prices. Since then, Ethereum has dropped by -70%.
ETC thus began to lose its momentum in the market, dropping far from its record price. However, the Coinbase announcement that came a month ago where this platform introduced ETC being added to their exchange in the following weeks, seems to be working on ETC, at least in a portion for now.
Ever since the announcement was made, Ethereum has managed to gain a flattering percent of rises in the course of a month, although the market trends weren’t working in favor of the majority of digital assets, rising from being traded at around 12$ per one ETC to being valued at over 16$ even with the latest drop of nearly 3%.
The most currently noted improvement in performance of ETC is being contributed to the Coinbase listing, given the fact that Coinbase, alongside with Gemini makes up for a highly authoritative exchange platform, approved by the US and regulated to fit the needs of AML as well as the needs of crypto investors.
At the time, Coinbase announced ha EC will have to go through a number of regulatory tests before being officially available for trading, stating that while they are announcing support for Ethereum Classic, it might take up to several months until Ethereum Classic becomes available for trading, withdrawal, and deposits on Coinbase.
In case Coinbase announcement is indeed the factor responsible for the noted improvement that ETC made in the market since the original statement provided by Coinbase, there is a massive probability that once it becomes fully available on Coinbase ETC is signing up for increased exposure and serious investors, which might consequently lead to major rice boosts.
The importance of Coinbase and Gemini across he crypto market can be described by Ripple’s stubborn involvement in getting on these exchanges, so it is logical to expect that Coinbase will do good for ETC, at least while the hype is alive.
The authority of Coinbase is rooted in the fact that this exchange makes sure that all added currencies are compliant to the regulatory processes and regulatory restrictions in general, which adds a much-needed factor of trust, which might be the primary reason why serious investors choose to put trust in exchanges like Coinbase and Gemini.
According to that logic, an asset added to Coinbase may as a consequence take advantage of these regulations, by gaining the increased exposure to the new investors, while Coinbase is trusted to add only valuable assets to its list of trading coins, that way also providing momentum and in a way approval for the added coin.
What is Next for Ethereum Classic?
Although Ethereum Classic (ETC) has been through a significant deal of troubles since it was forked out, it seems that the team behind ETC is finally working on some improvements, while obviously trying to prove that Ethereum Classic chain makes up for a better chain when compared to the original platform – Ethereum.
That is how the team is preparing for integrating Lisk technology into their chain, meaning that they will, be using LSK side chains in order to enable a fully operational decentralized application platform.
The new side chain system should enable Ethereum Classic (ETC) to perform cheaper and faster transactions with lower fees, which would along the way solve the scalability issues at the same time, preventing slow network time, while potentially skyrocketing ETC in the time to come.