Bitcoin Cash defies gravity with 25% growth; the next stop is $200

Bitcoin Cash (BCH) is a growth start today. The 6th largest coin by market value has gained nearly 25% since this time on Tuesday and over 12% since the beginning of Wednesday to trade at $117.78 by press time. This is the highest level since December 5 and a huge relief to the coin supporters after a collapse below $100 handle.

While the upside momentum is driven by market sentiments and technical factors, BCH also enjoys some positive fundamental news. Thus, a cryptocurrency wallet CoinText.io has launched its own BCH wallet in Bangladesh. Now the citizens of the country can transact BCH using text messages. No internet connection required.

"Bangladesh is the ideal country for CoinText.Very few people have smartphones or cellular data in Bangladesh. CoinText enables basic feature phones to access international currencies like bitcoin using SMS," CoinText founder and CTO Vin Armani explained.

BCH/USD, the technical picture

On the 4-hour chart, BCH/USD is moving within a range limited by SMA50 and SMA100 (currently at $88.80 and $121.18 respectively). The upper barrier is also protected by the sloping trendline that goes all the way down from the pre-fork high at $646.17. Once it is broken, the BCH will continue the recovery with the next aim at $165.00 (the lower border of the precious congestion zone) and to the ultimate $200.00.

The Relative Strength Index has entered an overbought territory, which should make buyers cautious; though it still points upwards, meaning that the upside potential is not exhausted yet.

On the downside, a vital support lies with psychological $100.00 and the above-mentioned SMA50. A sustainable move lower will negate favorable setup.

BCH/USD, 4-hour