The post Bitcoin Cash: 3 main factors that could fuel BCH rally past $400 appeared on BitcoinEthereumNews.com.

Bitcoin Cash rally stalled after a slight drop in 24 hours but bullish signs on its one-day chart persisted. Large transaction volumes surged by 123% in 24 hours as open interest hit a two-month high.  Bitcoin Cash [BCH] traded at $379 at press time, after a slight 0.58% drop in 24 hours. Despite the recent decline, BCH is still up by around 7% in the last seven days.  On the one-day chart, BCH was showing several bullish signs. The Moving Average Convergence Divergence (MACD) was above the signal line suggesting that an uptrend was underway. The Relative Strength Index at 56 also suggested that buyers were slightly more than sellers. However, this line is tipping south, which could precede a trend reversal if there is no fresh uptick in buying activity. Source: TradingView Bitcoin Cash managed to flip resistance at the 0.681 Fibonacci level ($370) but failed to sustain the gains. If it flips this resistance again and the uptrend continues, the next target for the altcoin will be the 1.618 Fibonacci level (420).  A look at on-chain metrics suggests that this rally is likely as whale activity is increasing while network activity is rising. Whale activity & network growth could fuel the rally  Data from IntotheBlock shows that volumes for BCH transactions exceeding $100,000 have increased to 1.13M. This represents a 123% increase in just 24 hours. Source: IntoTheBlock Whale activity can be a catalyst for price growth. However, whales control only 16% of BCH’s supply, suggesting that for the price to make a significant recovery, interest from the retail market is also needed.  At the same time, the Bitcoin Cash network has experienced rising usage. In 24 hours, the active addresses jumped from 45,000 to 121,000.  A rise in active addresses can fuel the rally as it shows rising…

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Filed under: News - @ October 31, 2024 1:18 am