- Prices rose by more than 25%.
- Bitcoin jumps above $20,000.
- May hard fork can influence the rise.
The Bitcoin Cash (BCH) prices surged by more than 25% in the past week. The rise is speculated to be due to the potential network changes in the protocol’s May hard fork. Bitcoin Cash’s May hard fork aims to bring enhanced security and privacy to the dawning ecosystem. It may bring along the “CashTokens” that can enable decentralized applications directly on the network.
Meanwhile, Bitcoin prices skyrocketed reaching beyond $20,000, taking the whole crypto market along. Another factor that is expected to strengthen the BCH rally can be the possibility of becoming the legal tender in St.Kitts and Nevis, a Caribbean country, in early March 2023. It is not confirmed yet, but was said to be under discussion in November last year.
The pictorial
The prices of the token rallied forming a bullish breakout, with current prices at $130.5. The volume witnesses heavy buying (green circle)as fans invest in the rally. The ascending OBV signals the rally to retain its pace and carry on for a long time. All crucial EMAs hold a spot under the price action, reflecting bullish signals. The rally is predicted to touch the resistance zone of $155.90.
The CMF rises from the zero-mark to set the market in bullish momentum due to the price rally. The MACD lines undergo a bullish divergence with tall standing buyer bars to reflect the buyer dominance. The RSI shoots to the overbought zone to mirror the true emotions of the investors.
4-hour POV
The smaller time frame study suggests the price rocket to encounter a few sellers who aim to book profits. The CMF, remaining in the positive zone, moves up steadily to mark a high run. The MACD shows the lines to shoot up in the positive zone and tall histograms for the buyers. The RSI oscillates in the overbought zone to cast the continuing buying spree for BCH.
Conclusion
The market is recovering and soaring high. The market drivers, like BTC and ETH are also on the rise, influencing the market to behave the same. The current surge in the BCH is anticipated to continue till May, when the har fork is scheduled. The holders to watch out for the further break out and chances of new ATH being marked.
Technical levels
Support levels: $96.9 and $89.4
Resistance levels: $143.4 and $155.9
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2023/01/14/bch-worth-a-little-gamble-can-reach-its-all-time-high/