Bitcoin Cash analysis: BCH/USD recovers from under $1,000, upside is limited
|- BCH/USD struggles to stay above $1,000 handle.
- Gandham from eToro is concerned about uncertainty around Bitcoin Cash.
On Wednesday, Bitcoin Cash dropped below $1,000 for the first time since April 20. While the coin managed to recover to $1,042 by the time of writing, the longer-term picture remains clearly bearish. BCH has lost over 5.5% in recent 24 hours and over 55% since the beginning of the year.
Bitcoin Cash is the fourth largest coin with the market cap over $17.9B. The coin shed over $1B in a single trading day due to unstoppable sell-off. The trading volume has dropped picked up from $648M to $850M. OKEx has the most significant share of BCH transactions against USDT. BCH/USD is most actively traded on Bitfinex.
While Bitcoin Cash has a lot of supporters and proponents, some market players voice concerns about the future of the coin, that fights for the right to be called "true Bitcoin".
“Though it recently upgraded its blockchain protocol, it seems that Bitcoin Cash has yet to reassure the crypto community that it can provide a more stable framework for transactions and that it really is ‘Bitcoin,’” Iqbal Gandham from eToro commented. “This lack of clarity has repeatedly called into question the authenticity of Bitcoin Cash, and until that is resolved the direction of price movement will always carry an air of uncertainty.”
Bitcoin Cash technical picture
Bitcoin Cash is changing hands at $1,042. The coin has recovered from Wednesday's low at %966, but the picture is bearish as long as it stays below It 100-DMA (daily chart) at $1,128. A sustainable movement below $1,000 will lead us to $858 (78.6% Fibo). On the upside, the resistance is created by the above-mentioned00-DMA followed by 50-DMA at $1,1174
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