In recent times, Bitcoin Cash has experienced a surge in investor interest due to its massive growth recorded. From last week’s low of $109.6, the coin price has rocketed 115.5% and reached the current trading price of $236.6. This sudden upswing is likely associated with its listing on institutional-backed crypto exchange EDX Markets. However, it remains to be seen how long the BCH price can continue its bullish growth.
The EDX crypto exchange listing, bolstered by climbing trading volumes and rising social media interest, has positively impacted BCH’s price. The recent rally managed to surpass another horizontal resistance of $216-$212, suggesting that buyers are primed to reach even higher levels. Additionally, a 5% intraday increase offers a favorable follow-up to confirm the bullish upswing. With sustained buying, the Bitcoin Cash price could potentially rise another 11.5% and reach the $260 mark.
However, this resistance level could act as a significant barrier that could impede the ongoing recovery. Considering the exceptional rally exhibited by the Bitcoin Cash price over the past week, further growth may be limited without external news. Moreover, aggressive buying is often succeeded by a period of correction, to stabilize the built-up selling pressure and provide a breather for buyers before continuing the prior recovery. Consequently, the BCH price may undergo a correction before surging above $260.
Analysts are monitoring several technical indicators to evaluate the stability of Bitcoin Cash’s growth. The daily RSI slope in oversold territory reveals excessive buying from traders, suggesting a corrective phase is needed to stabilize the market. Additionally, the separation of daily EMAs (20, 50, 100, and 200) from the current price levels further indicates instability in the coin, as prices usually waver close to moving averages.
The future of Bitcoin Cash remains uncertain, even as investors watch the positive signs exhibited by this cryptocurrency. While the ongoing recovery suggests potential for further growth, the need for a corrective period to stabilize the market could limit gains in the short term. As always, it is imperative to conduct thorough market research before venturing into any investments in the volatile world of cryptocurrencies. The rapidly changing market conditions can make or break investments, and individual financial losses remain the responsibility of each investor.
Source: Coingape
