Bitcoin Cash Price Analysis: BCH/USD trip to $300.00 is going to be short
- BCH/USD is one of the best-performing coins out of top-10.
- One-third of BCH has never been touched or moved.
- The key bullish target of $300.00 is within reach.
Bitcoin Cash is changing hands at $274.52, off the recent high of $280.38. The fifth-largest digital asset with the current value of $5 billion has been growing sharply ahead of the halving; however, the inability to settle above $280.00 may trigger the downside correction.
One-third of BCH coins have never been moved
According to the latest statistical data provided by CoinMetrics, inactive Bitcoin Cash accounts contain 6 million coins to the tune of $1.55 billion. It means that about one-third of the total BCH supply has never been touched or moved.
Considering the above, experts believe, that the real circulation supply of Bitcoin Cash (BCH) is 12.4 million coins rather than 18.million.
A large number of never-touched coins is a potentially dangerous situation that may lead to a massive dump if people who have the access to them decide to dump them one day.
Also, Bitcoin Cash went through a halving today, the price of the coin jumped by over 14% on a day-to-day basis. BCH miners rewards were slashed from 12.5 to 6.25 BCH.
BCH/USD: Technical picture
On the intraday charts, BCH/USD is supported by $263.00. This barrier limited the upside momentum at the beginning of the week. If it is broken, the sell-off may be extended towards $261.30 ( the middle line of the 1-hour Bollinger Band) and $255.00 (1-hour SMA50). The lower line of 1-hour Bollinger Band at $244.00 will serve as a backstop if the sell-off continues.
On the upside, the first resistance is created by $280.00. Once it is out of the way, the upside is likely to gain traction with the next focus on psychological $300.00.
BCH/USD 1-hour chart
Author
Tanya Abrosimova
Independent Analyst
