On April 17, Bitcoin Cash ($BCH) soared by around 3.66% on a daily chart following its positive correlation with Bitcoin (BTC), which once again reclaimed the $75,000 mark on the same day.
According to CoinMarketCap, Bitcoin Cash price is currently revolving around $455.74 with an impressive market capitalization of around $9.12 billion. The daily trading volume also jumped by around 18.52%, reaching $287.63 million.
Bitcoin Cash Price Could Breakout If It Holds Above $455
$BCH is following a recovery pattern on its price charts where the cryptocurrency holds a major support around $430 after a period of consolidation between $420 and $455. The currency pattern on the technical chart is showing that the currency price is respecting a higher low while testing overhead resistance around $455.
According to crypto technical analysis, the daily close above $455 could spark a breakout from the current price level. However, this breakout will help it to create a new short-term high.
Amid the positive sentiment in the overall crypto market, technical indicators are also confirming that positive momentum in building on the price chart. The relative strength index (RSI) on the 14-day timeframe is currently revolving around 69. This number is suggesting a healthy buying pressure while staying below the overbought level of 70.
In the short-term frames, moving averages are also confirming the bullish moment in the cryptocurrency. The 5-day moving average is at $439, the 10-day at $437, and the 20-day at $436. All of these are giving a buy signal.
The price movement in Bitcoin Cash came ahead of the major upgrade on the network. On May 15, the network is going for the Layla hard fork. This upgrade will implement four major Bitcoin Cash improvement proposals in order to enhance on-chain programmability. This will allow developers to write more complex smart contracts through features such as bounded loops and improved function definitions.
The upgrade will also introduce quantum resistance measures and the CashVM framework. This framework will allow developers to build advanced applications while keeping transaction fees low. Node teams have already approved the changes to ensure smooth coordination.
Apart from this, Bitcoin Cash has completed its integration with the Lava Network.
Bitcoin’s Rally Sparks Bullish Wave Across Altcoins
Since February, it is the first time Bitcoin has crossed the $75,000 mark. This major spike in Bitcoin price has created strong bullish sentiment across the entire cryptocurrency market. In this wave, many other altcoins, including Ethereum, Solana, and XRP, have also climbed impressively on the daily chart.
This rally in Bitcoin was seen after steady inflows in spot Bitcoin exchange-traded funds, where these funds have recorded around $471 million in net inflows on April 6, which is the largest single-day gain since late February.
In the entire month of March, Bitcoin ETFs recorded around $1.32 billion in positive inflows. This clearly shows that investors and institutions are continuously buying Bitcoin through regulated investment vehicles.
Apart from this, short positions have added additional movement in the rally. This was because when Bitcoin broke important resistance levels, traders who had traded against the price had to close their positions quickly.
The reduction of geopolitical tension after U.S. President Donald Trump announced a two-week ceasefire in the war against Iran and continued dialogue to resolve issues. While the Strait of Hormuz is still closed, this has provided temporary relief to the global energy crisis. However, if these peace deal efforts fail, the option of military action is still on the table.
Leave a comment