Bitcoin Cash 1st Birthday: BCH/USD Price Prediction

Bitcoin cash (BCH) was launched on August 1, 2017 so it completed its first year of formation. Bitcoin Cash was expected to increase the volume of Bitcoin and bring it to the masses.

In a year, BCH had moved up to a level of more than $3300 level but then fall like other cryptos. Currently, for medium term the crypto had a strong resistance at the level of $870 and has a strong support at a level of $780

Bitcoin Cash (BCH) is considered as an alternative to the cryptocurrency bitcoin and is one of the most valuable cryptocurrencies in the world. BCH is considered as a hard fork of bitcoin and is designed to offer faster transactions and more affordable transactions than Bitcoin. Therefore BCH have a bigger “block size” than Bitcoin after Segwit2x, which provides BCH more capacity to handle transactions with low fees.

Chart of Bitcoin Cash (BCH/USD)

BCH had moved above the $870 level against the US Dollar. BCH has major resistance around $1236 However, BCH/USD started falling like other cryptos and broke the $850 and $840 support levels. On the chart, BCH price is expected to below $825. Therefore, above $825, the investors will get confidence to invest. On the other hand BCH/dollar has a major support around $780, so BCH can rebound.

Factors for driving Bitcoin Cash’s growth

• BCH has Scalability problems with bitcoin/: Bitcoin Cash was created on August 1st, 2017 to be used as an alternative to bitcoin’s increasing transaction wait times and fees. If the scalability issues persists to create further problems for bitcoin, then the investors will start investing in BCH and will create growth for Bitcoin Cash.
• Miners are shifting their focus from BTC to BCH. Bitcoin Cash is considered to be more lucrative for miners than actual bitcoin, so the miners are switching from BTC to BCH, which could lead to further growth for BCH.
• Closely linked with crypto: bitcoin. BCH’s is closely linked to major crypto bitcoin. This has create d confidence among the investors trust with investors and also suggests that this is a coin built on a strong platform.
• Supply & Availabilty: Just like bitcoin, Bitcoin Cash has a strong supply, which will create more demand of them.

BCH price had moved up few days back driven by speculation about incoming Bitcoin ETFs, positive regulatory news and institutional interest. SEC has approved seven blockchain-based ETFs in 2018 till now, ETFs backed by Bitcoin was expected to come but got disapproved.

The South Korean financial regulator is reorganizing and expected to nurture bitcoin and other cryptocurrencies and will encourage other countries to take positive steps towards them. Further, Goldman Sachs is positive about BCH expected to add them in their portfolio.

Additionally, BCH was used by the traders as part of management strategies, to either hedge their exposure to downside risk or produce superior returns. The investors should not be very positive on BCH, and can be invested with caution.