- BCH price prediction shows Bitcoin Cash is facing growing selling pressure as significant technical indicators indicate it is time to sell.
- Multiple on-chain metrics are also showing BCH is on the verge of a significant price correction.
- Bitcoin Cash bulls ought to ensure the crypto asset holds above crucial support levels in the near term.
Over the past few days, Bitcoin Cash has been recording significant price surges, appreciating by over 30 percent in value. Despite the impressive bull run, Bitcoin Cash recently experienced a price correction towards the $600 region. At present, multiple technical indicators are showing BCH could experience further price declines.
BCH Price Prediction: General price overview
At the time of writing, Bitcoin Cash appears to have broken out exchanging hands at $632, which is about 50 percent above the 2 week low of $440. The current value also happens to be 15 percent below the year high of $780. In the process, BCH market capitalization has increased by about $15 billion ever since the surge began.
Over the past few days, Bitcoin Cash has been acting bullish, in part thanks to the recent surge in Bitcoin prices. However, Bitcoin appears to have found some resistance slightly below its all-time high milestone of $61,000. Still, crypto pundits argue the number one crypto coin will make a bullish comeback as a matter of time. Crypto observers such as JP Morgan predict Bitcoin prices might soar to more than $100,000 in the next few weeks, if not months. This is important to BCH holders as the digital asset is often viewed as a BTC proxy. Many crypto investors who are unable to afford Bitcoin prefer using their limited assets to buy Bitcoin Cash. It is a similar process to that of individuals buying silver since they cannot afford gold. At present, BCH prices appear to be riding on the news of its listing on Coinbase direct.
BCH price movement in the past 24 hours
According to BCH‘s 24-hour chart, it appears the bulls are working round the clock to defend the $600 support level, which is 78 percent Fibonacci retracement level. At the time of writing, critical technical indicators such as the TD Sequential indicator appear to signify the start of a selling spree. This is indicated in the form of a red indicator pointing down.
BCH 4-hour chart
Like the 24-hour chart, the 4-hour chart appears to be signaling the same thing, it is selling time. Previous signals on the 24-hour chart have been confirmed and validated, adding credence to the current selling signal. If BCH fails to close above the $640 support level, the crypto asset might experience a price plummet towards the $600 region.
As for the In/Out of the Money Around Price (IOMAP) model, BCH appears to have no credible support below the $600 mark. This means a breakdown below the mark risks taking the digital currency towards $550, the next support level that has some significance. Here there are more than 121,000 addresses have more than 600,000 BCH tokens. The IOMAP chart also highlights a strong resistance region between $630 and $660. A decisive close above the $655 area would invalidate the looming sell signal on the 24-hour chart. The result of such an action would see BCH surge upward towards the $700 mark.
Recently, BCH antitrust lawsuit was thrown out of the courts due to the lack of evidence. The lawsuit alleged that several crypto personalities were involved in market manipulation. The suit had touched Bitcoin Cash and could have affected the digital asset’s image if it has gone otherwise.
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