Price analysis

Bitcoin cash bulls aim at $600 after gaining 20% in the last 24 hours

Bitcoin cash gained 20% in the last 24 hours as one of the best performing digital currencies. In just a few hours, the coin’s price moved from $440 to $550 and is currently aiming at $600 by the looks of it. These gains have been attributed to some positive developments which will be discussed below.

Price Analysis

After under performing in the recent weeks, Bitcoin cash made a sharp move gaining 20% in the last 24 hours. Additionally, the coin’s price managed to break out of the 50-day SMA and the resistance line of the descending channel. If bulls succeed a move above the current channel, a rally above $600 is probable. Also, a breakout may signal a change in trend.

BCH/USD

Moreover, solid buying of the cryptocurrency started around the $450 level. This saw the coin’s price move as high as $550 and later started a brief correction. It moved below the 23.6% Fib retracement level of the last wave from $440 low to $550 high. Earlier, the $500 level acted as resistance but currently has changed to its support. If the trend continues, we might witness more gains in the coming weeks.

News and Developments

Earlier in the year, an insider from BITMAIN leaked information revealing how much bitcoin cash is held by the company. According to the information, the firm was holding about 1 million Bitcoin Cash (BCH), which accounted for 6% of the total supply of the digital currency during that time. Also, Cobra, through a tweet stated that this was a very powerful statement that showed they had a clear strategy.

On 26 September, Bitmain announced the IPO filing, an event that may have boosted Bitcoin cash’s price according to Greenspan.

Do you think that this announcement is the only development that may have caused a sudden rise in BCH’s price?

Share your views in the comments section below

coinmag

Having contributed to many leading financial blogs, Ken's love for cryptocurrencies and the blockchain technology has him on high alert on all price developments within the cryptocurrency sphere.

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