Why Ethereum Classic Is Diving

Ethereum Classic ETC/USD is trading lower by 4.08% to $19.34 Friday afternoon. The altcoin is trading lower in sympathy with the broader cryptocurrency sector following key U.S. economic data. The U.S. Services PMI rose from 52.6 points in March to 53.7 points in April — above expectations of 51.5.

See Also: Bitcoin, Ethereum And Dogecoin Drop Following Hawish Inflation Data: What To Watch Over The Weekend

Cryptocurrencies have also been seen by some investors as a speculative hedge against inflation and the Fed's plans to curb inflation could weigh on the broader cryptocurrency sector.

"The latest survey adds to signs that business activity has regained growth momentum after contracting over the seven months to January," Chris Williamson, Chief Business Economist at S&P Global Market Intelligence, said. "The latest reading is indicative of GDP growing at an annualized rate of just over 2%."...Read More