Bitcoin Cash Price Analysis: Bulls soar towards $300-mark as UTXO set size grows to “levels not seen since 2017”
|- BCH/USD has spiked up from $167 to $257 over the last two days, charting a staggering 54% growth. Technical analysis shows that future growth is also expected.
- Bitcoin Cash’s UTXO set size has reached its most significant level since 2017 which is historically an indicator of a bull run. Plus, the upcoming reward halving and hashrate increase have contributed to the rise in price as well.
As the entire crypto market enjoys tremendous gains following this Tuesday’s bull run, a special mention must be made for Bitcoin Cash. BCH/USD has grown by a staggering 58% over the last two days as its price has spiked up from $167 to $264. Apart from the overall bullish sentiment, several reasons have contributed to this outlandish boost in price:
- As per Bitcoin.com, the BCH network’s unspent transaction output (UTXO) set size has grown to “levels not seen since 2017.” An increase in the size of UTXO has historically been a significant bullish indicator.
- BCH is also marching towards block reward halving which is expected to be around April 8, 2020, at around 1 a.m. UTC.
- Even though Bitcoin Cash hashrate dropped below one exahash per second following November’s blockchain split, since January 1, the BCH hashrate has gradually increased to 1.8 exahash.
BCH/USD Daily Chart
This Tuesday’s bullish breakout was strong enough for BCH/USD to breach past the $200 and $250 levels. In the process, the BCH/USD daily chart was able to cross over the 200-day simple moving average (SMA 200) curve for the first time since May 2018.
The bulls have $300 mark firmly in their sights, and the following indicators show that the market has enough momentum to breach past it:
- The Ichimoku indicator shows a green cloud in the near future.
- The last two sessions of the Elliot Wave have been bullish with increasing intensity.
- In the moving average convergence divergence (MACD) indicator the signal line, which was about to cross over with the MACD line, has suddenly diverged away, which indicates increasing bullish momentum.
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