The Bitcoin Cash price has broken out. The BCH is trading at $ 683, 53% above the two-week low of $ 441 and 13% below the annual high of $ 775. Its market capitalization has grown to over $ 13 billion.
What happened: Bitcoin Cash has regained its momentum, partly due to Bitcoin’s recent performance. BTC price has found some resistance, slightly below its all-time high of $ 62,000. However, analysts believe it is only a matter of time before it makes a bullish comeback. In fact, JP Morgan analysts expect the price to soar above $ 100,000 in the next few months.
As I wrote earlier, Bitcoin Cash is often viewed as a proxy for Bitcoin. Many small traders who can’t afford the whopping $ 60,000 to buy a BTC are using their limited resources to buy BCH. It’s a similar process to how many merchants buy silver instead of gold.
Bitcoin cash price is also rising ahead of Coinbase’s long-awaited direct listing. In a report yesterday, the company said it generated billions of dollars in the first quarter. In fact, Q1 income was significantly higher than it was in 2020. Bitcoin Cash is one of the most actively traded assets on the platform.
Bitcoin Cash price prediction
The four-hour chart shows that the BCH price has hit a double low at $ 442 in the past few weeks. The cutout was $ 608. In technical analysis, this pattern is usually a bullish sign. And this week the price could move across the cutout.
The uptrend is supported by the short and longer term moving averages, while the Relative Strength Index (RSI) has continued to rise. Hence, I believe the current momentum will continue as the bulls target the YTD high of $ 775. On the downside, a break below the USD 608 support invalidates that forecast.
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BCH price chart