Bitcoin Cash analysis: BCH/USD goes to the moon fuelled by Gemini listing and Bitmain's IPO


  • BCH/USD jumps over 20% in a matter of hours and keeps the gains.
  • Gemini listing and Bitman's IPO news might be behind the movement.

Bitcoin Cash (BCH) experienced a sharp price increase late on Wednesday, jumping to $553 in a matter of hours. Despite some retracement, the coin is still trading with 21% gains day-on-day, at $530 by press time. Being the 4th largest coin by market value, BCH has a market cap $9.2B and an average daily trading volume $1B which is twice as large as on September 25. The coin experienced a sharp growth of volumes and volatility amid the strong upside momentum late on Wednesday.

Considerable volatility implies that there are a lot of buyers and sellers who try to pull the price their way. While there are no signs of increased selling pressure, BCH is vulnerable to the downside correction from an overbought territory. 

Bitcoin Cash technical picture

From the technical point of view, watch out for psychological $500 handle, strengthened by 200SMA (4-hour chart) and the upper line of the broken channel. If BCH bears manage to crack it, the sell-off will gain traction with the next targets at $466 and $455 (SMA50 and SMA100 respectively). 

On the upside, BCH/USD might return to Wednesday's high at $553 followed by $564 (50% Fibo retracement for the downside movement from September 2 high).

What's behind the move?

The New-York based cryptocurrency exchange Gemini is about to add BCH to the list of tradable digital instruments. The company, owned by Winklevoss twins announced that it received regulatory approval for Bitcoin Cash listing.

"We’ve already gotten regulatory approval to list BCH; however, no launch date has been announced. We will be sure to let everyone know once it’s available for trading,” Gemini wrote in a Twitter post.

While listing on a large platform is always a suitable catalyst for growth, some experts believe, that the main reason behind BCH stellar rise is related to Bitmain's IPO.

"This spike was definitely caused by Bitmain's IPO filing,"  eToro's senior market analyst Mati Greenspan explained.

BCH/USD, 4-hour chart


Get 24/7 Crypto updates in our social media channels: Give us a follow at @FXSCrypto and our FXStreet Crypto Trading Telegram channel

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: ETH sizes the spotlight as BTC and XRP contemplate retracement

The hype around Coinbase’s IPO was matched by Bitcoin and Ethereum, which surged to new all-time highs. On the other hand, Ripple price faced an abrupt stop as investors began booking profits.

More Bitcoin News

Stellar aims for new all-time highs if key support holds

Stellar has enjoyed an amazing rally since the beginning of 2021 and hit a yearly high at $0.69 on April 14. The digital asset must hold a crucial support level to continue with the uptrend and reach new highs.

More Stellar Lumens News

Cardano resets before the next leg up to new all-time highs

Cardano price faced exhaustion of bid orders as it hit the base of an ascending triangle at $1.48. A minor retracement to the immediate demand barrier at $1.34 seems likely. Shattering the resistance level at $1.48 forecasts a new all-time high for ADA.

More Cardano News

Algorand Price Prediction: ALGO vies for 85% advance upon the breach of its consolidation

Algorand price is traversing a bullish pennant, hinting at an 85% upswing to $2.83. A decisive close above $1.53 will signal a breach of the pennant’s upper trend line. ALGO will kick-start a new downtrend if it slices through the 50% Fibonacci retracement level at $1.03.

More Algorand News

BEST CRYPTO BROKERS/EXCHANGES




Bitcoin Weekly Forecast: SEC commissioner cozies up to BTC ETF, on-chain metrics reset making way for volatile move

Bitcoin’s mainstream adoption has soared over the last couple of months, with institutions like Visa, Goldman Sachs, Morgan Stanley, and others dipping their toes in the BTC markets. Likewise, prices look primed to advance further despite the ongoing consolidation phase.

Read the weekly forecast

BTC

ETH

XRP