What could affect the price of ETC?

Ethereum Classic is navigating a challenging path between upcoming protocol upgrades and current market conditions.

1. Olympia Upgrade (2026) – New governance and fee-burning features could reduce supply
2. Proof-of-Work (PoW) Debate – Miner loyalty clashes with energy concerns, causing price swings
3. Competition Among Layer 1 Blockchains – Trails newer platforms in developer activity and DeFi usage

In-Depth Look

1. Protocol Funding Changes (Mixed Effects)

What’s Happening: The Olympia Upgrade, planned for late 2026, will introduce a system similar to Ethereum’s EIP-1559 fee burn. About 80% of transaction fees will be sent to a decentralized treasury, which could reduce the total supply of Ethereum Classic (ETC) coins. This upgrade also brings on-chain governance through ECIP-1113. Testing is expected to start in early 2026.

Why It Matters: Ethereum’s similar upgrade removed over $10 billion worth of coins from circulation, supporting its price. However, because Ethereum Classic has fewer transactions, the immediate impact might be smaller. The real success depends on how well the decentralized autonomous organization (DAO) uses these funds to grow the ecosystem after the upgrade (Ethereum Classic DAO).

2. Proof-of-Work (PoW) Challenges and Opportunities

What’s Happening: Ethereum Classic is one of the few blockchains still using Proof-of-Work, the same mining method Bitcoin uses. After Ethereum switched to Proof-of-Stake, some miners moved to ETC. However, ETC has faced security issues like 51% attacks in the past, and mining ETC uses about 37% more energy per unit of work than Bitcoin.

Why It Matters: A stable mining network (currently around 2.3 terahashes per second) could attract investors who value security. But growing concerns about the environmental impact of energy-heavy mining could lead to stricter regulations. Recent Web3 rules in Hong Kong that support PoW blockchains may help ETC’s position (Crypt0_DeFi).

3. Developer and DeFi Activity (Lagging Behind)

What’s Happening: Ethereum Classic ranks 48th among Layer 1 blockchains in developer activity, with just 23 code updates per week compared to Solana’s 2,100+. Its decentralized finance (DeFi) platforms hold only about $12 million in total value locked (TVL), far less than Ethereum’s $65 billion.

Why It Matters: Without more developers and users building on ETC, the network risks becoming inactive or irrelevant. The ETC Grants DAO has set aside $10 million to boost development, but it will take 6 to 12 months to see if this investment pays off (CoinMarketCap Analysis).

Conclusion

The 2026 Olympia Upgrade could help Ethereum Classic reclaim its unique spot as "Bitcoin + Smart Contracts." However, it faces challenges like limited network growth and concerns over its energy use. Currently, technical indicators show a downward trend, with the price below the 200-day moving average at $17.93. The $11.50 level is a key support point to watch. The success of the upcoming testnet and whether the DAO can attract over 300 developers will be crucial for ETC’s future.

What are people saying about ETC?

The Ethereum Classic (ETC) community stays committed to its core values, while traders focus on important price levels. Here’s what’s happening right now:

1. Technical analysis points to weak momentum and potential price drops
2. Supporters highlight ETC’s Proof of Work (PoW) system and “Code is Law” philosophy
3. Updates to the network show mixed results

In-Depth Look

1. @CryptoJobs3: Breaking key support could lead to further declines (bearish)

"Bulls are weak. The main trend is still downward... Another price drop seems likely under resistance levels."
– @CryptoJobs3 (41K followers · 1.3M impressions · 2025-12-19 14:00 UTC)
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What this means: This is a negative sign for ETC. The weekly price chart shows ETC trading below important support levels between $15 and $16.50. Analysts point out weak buying interest and resistance around $12.80 to $13.50, which could determine if prices fall further.

2. @0xToxo: ETC blends Bitcoin’s security with Ethereum’s smart contract features (bullish)

"ETC combines Bitcoin’s money model with Ethereum’s programmability. It’s digital gold that can also run smart contracts."
– @0xToxo (9.7K followers · 685K impressions · 2025-12-18 10:04 UTC)
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What this means: This is positive for ETC. Supporters believe ETC’s Proof of Work system and compatibility with Ethereum’s smart contract platform make it a unique asset. However, it hasn’t gained as much adoption as Ethereum itself.

3. @Nicat_eth: Strong miner support but slow ecosystem growth (mixed)

"ETC is holding onto its identity as a secure PoW chain – but with declining ecosystem traction and intensifying competition."
– @Nicat_eth (7.5K followers · 2.4M impressions · 2025-12-01 20:53 UTC)
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What this means: The outlook is mixed. Institutional miners provide stability, but slow developer activity and competition from faster blockchain networks like Solana limit ETC’s growth.

Conclusion

The outlook for $ETC is mixed. The community values its commitment to immutability and security, but technical indicators suggest weakening momentum. Resistance between $12.30 and $12.65 is a key level to watch. Long-term holders focus on ETC’s Proof of Work security and its capped supply of 210 million coins. Keep an eye on the Olympia Upgrade planned for late 2026, which includes fee burns and decentralized governance. These changes could boost ETC’s value by making it more deflationary.

What is the latest news about ETC?

Ethereum Classic (ETC) is making moves toward wider adoption by institutions and planning important upgrades, even as it faces challenges in the market. Here’s a quick summary of the latest news:

1. Grayscale Files for IPO with ETC Trust (November 18, 2025) – Grayscale’s $157 million ETCG trust is part of a big push into traditional finance.
2. Toobit Launches ETC Flexible Staking (November 21, 2025) – A new staking option offers 0.35% APR, giving investors more ways to earn from ETC on exchanges.
3. Olympia Upgrade Draft Released (July 1, 2025) – Plans for new governance and treasury features at the protocol level are set for 2026.

In-Depth Look

1. Grayscale Files for IPO with ETC Trust (November 18, 2025)

What happened:
Grayscale Investments has applied to list its Ethereum Classic Trust (ETCG) on the New York Stock Exchange. This trust holds $157 million worth of ETC. Currently, the trust’s shares trade at a 32% discount compared to the actual value of the ETC it holds ($7.61 per share vs. $11.24 net asset value). This discount shows that institutional investors are more cautious about ETC compared to Bitcoin and Ethereum products.

Why it matters:
This IPO gives traditional investors a regulated way to invest in ETC. However, ETC has underperformed compared to Ethereum this year (Ethereum is up 53% while ETC is down 38%). If cryptocurrency exchange-traded funds (ETFs) become more popular in 2026, this IPO might help narrow the discount on ETCG shares. (Yahoo Finance)

2. Toobit Launches ETC Flexible Staking (November 21, 2025)

What happened:
The Toobit exchange introduced a flexible staking product for ETC that offers a 0.35% annual percentage rate (APR). Investors can stake their ETC and redeem it instantly up to 700 ETC. This product is similar to offerings from other exchanges like HTX and Coinbase but offers lower returns than decentralized finance (DeFi) options.

Why it matters:
This new staking option increases liquidity and gives investors more ways to earn from ETC. However, the low APR suggests that demand for ETC staking is limited. Many traders seem to hold ETC more for its proof-of-work (PoW) security features than for earning staking rewards. (Toobit)

3. Olympia Upgrade Draft Released (July 1, 2025)

What happened:
The Ethereum Classic DAO proposed the Olympia Upgrade through a series of improvement proposals (ECIP-1111 to 1114). This upgrade plans to introduce a fee-burning mechanism similar to Ethereum’s EIP-1559, where 80% of fees go to a treasury fund. It also aims to add on-chain governance by 2026. Testing started in the third quarter of 2025.

Why it matters:
This upgrade could solve ongoing funding challenges for ETC by creating a treasury funded by transaction fees. However, some community members worry about giving too much control to governance bodies, fearing issues seen in other projects like Tezos. If adopted, the upgrade could lower ETC’s inflation rate by about 1.2% per year. (Ethereum Classic DAO)

Conclusion

Ethereum Classic is balancing growing interest from traditional investors with efforts to improve its long-term sustainability through protocol upgrades. The Olympia Upgrade could bring new life to developer activity, but ETC’s 38% drop this year highlights the challenge of standing out in a market dominated by Ethereum’s proof-of-stake model. The big question for 2026 is whether ETC’s upcoming governance changes will successfully blend its “Code Is Law” philosophy with the needs of today’s decentralized finance world.

What is expected in the development of ETC?

Ethereum Classic’s decentralized governance is driving several important updates:

1. Olympia Upgrade (End of 2026) – Introduces on-chain DAO governance and a treasury system.
2. Layer 2 Integration (No Date) – Exploring Optimistic Rollups to improve scalability.
3. EVM Versioning (Long-Term) – Ensures backward compatibility for older smart contracts.

In-Depth Look

1. Olympia Upgrade (End of 2026)

What it is: The Olympia Upgrade will bring new funding and governance features through four Ethereum Classic Improvement Proposals (ECIPs):

• ECIP-1111: Adopts EIP-1559, redirecting 80% of base transaction fees to a decentralized treasury.
• ECIP-1113: Sets up on-chain DAO governance, allowing $ETC holders to vote on key decisions.
  The upgrade is currently being tested on test networks, with a goal to launch on the main network by late 2026.

Why it matters: This is a positive step for ETC’s long-term health, as it decentralizes funding and encourages community-driven development. However, delays or technical challenges could slow progress.

2. Layer 2 Scalability (No Date)

What it is: Ethereum Classic plans to adopt Layer 2 solutions like Optimistic Rollups. These are technologies that run transactions off the main blockchain to increase speed and reduce costs, while still benefiting from the security of the main Proof-of-Work (PoW) network.

Why it matters: This could attract decentralized finance (DeFi) developers looking for lower fees and faster transactions. The impact depends on how quickly developers build on ETC and how well the network grows.

3. EVM Versioning (Long-Term)

What it is: The plan is to introduce versioning for the Ethereum Virtual Machine (EVM), which runs smart contracts. This would allow older contracts to keep working on compatible versions, even as the network upgrades.

Why it matters: This helps maintain stability and trust by protecting existing applications while allowing improvements. The challenge lies in implementing this smoothly and getting widespread adoption.

Conclusion

Ethereum Classic’s roadmap focuses on decentralized governance (Olympia), scaling through Layer 2 solutions, and maintaining backward compatibility. The project prioritizes security and immutability over speed. While timelines may shift, ETC’s commitment to Proof-of-Work and alignment with Ethereum’s technology could make it a unique blend of Bitcoin’s security and Ethereum’s smart contract capabilities. An open question remains: will miners moving from Ethereum after its Merge boost ETC’s network security and hash rate?

What updates are there in the ETC code base?

Ethereum Classic (ETC) is updating its technology with new protocol improvements and better governance systems.

1. Olympia Upgrade Drafted (July 2025) – Adds a fee-burning mechanism, decentralized governance through a DAO, and new funding options.
2. EVM EOF Integration (Planned 2024) – Improves compatibility with Ethereum’s virtual machine and boosts security.

Deep Dive

1. Olympia Upgrade Drafted (July 2025)

Overview: The Olympia Upgrade aims to create a decentralized treasury and on-chain governance system, staying true to ETC’s commitment to immutability and decentralization.

Key features include:

• ECIP-1111: Redirects 80% of the base fees collected from transactions (using EIP-1559) into a treasury fund, which helps reduce the total supply of ETC over time.
• ECIP-1113: Sets up a Decentralized Autonomous Organization (DAO) that lets ETC holders vote on how funds are used to support the network.
• Testnet rollout: Started on the Mordor test network in July 2025, with plans to launch on the main ETC network by late 2026.

What this means: This upgrade is positive for ETC because it decentralizes how development is funded and encourages long-term growth. By burning fees and involving the community in decision-making, it could reduce selling pressure and promote innovation. (Source)

2. EVM EOF Integration (Planned 2024)

Overview: ETC developers are adopting Ethereum’s EVM Object Format (EOF) upgrade to improve how smart contracts run on the network, making them more secure and efficient.

Key changes:

• EIP-3860: Sets limits on the size and execution of initialization code to prevent misuse of network resources.
• EIP-3540: Separates code from data storage, which simplifies and speeds up smart contract execution.

What this means: This upgrade keeps ETC compatible with Ethereum’s ecosystem while enhancing security. It provides developers with better tools, but its overall impact depends on how widely it is adopted. (Source)

Conclusion

Ethereum Classic is carefully balancing innovation with its core values by introducing decentralized governance through the Olympia upgrade and improving technical compatibility with the EOF integration. While these updates strengthen ETC’s foundation, the network’s cautious approach to upgrades raises an important question: Will the new DAO governance system attract enough developer interest to keep ETC competitive with faster-evolving blockchains?