Bitcoin Cash price analysis reveals that a bullish breakout may take its price to three hundred and sixty dollars ($360), however, bears may cause it to fall to one hundred and five dollars ($105). Should traders invest or not?
Institutional investors are qualified professionals, seasoned with years of experience in investment-related dealings. Even so, such investors have been very slow to realize the worth of blockchain and cryptocurrencies. These are the things that are now being called the technology of the future.
On the other hand, untrained and barely qualified amateur retail traders have been fairly quick to adopt cryptocurrencies, and many have benefitted extensively through them. According to Cameron Winklevoss, Bitcoin is the digital gold and hence will act as a store of value in this day and age. He also said that traders reluctant on investing now would regret it later.
The question comes down to whether traders should use the current low prices to invest or stay cautious. The cryptocurrency under discussion is Bitcoin Cash (BCH) the price action of which has been stuck between the trendline of its ascending channel and its twenty-day estimated moving average (EMA).
Bitcoin Cash Price Analysis: Price Movement
As stated earlier, Bitcoin Cash’s price managed to remain above the trendline for the ascending channel due to the momentum by the buyers. However, the buying momentum was not enough to break above the twenty-day EMA.
A break-though above the twenty-day EMA will put the price above three hundred and sixty dollars ($360) while the price is expected to gain momentum then.
However, if the price falls below the neckline of the forming head and shoulders pattern will show bearish control of markets. The next support lies slightly below one hundred and seventy dollars ($166.98) below which price can fall to one hundred and five dollars ($105).
Traders should wait till price breakouts above before they dive in.
You can view our previous BCH Analysis here.