The three months have seen Bitcoin Cash drop down of over $800 a little over $400. Just a month ago before Bitcoin Cash began trading around $800, it was trading above the $1000 level. So, clearly, the year has been rocky for Bitcoin Cash holders. However, looking through the chart, it is also clear that the coin has a lot of potentials and there’s no telling what it will do. On April 06, Bitcoin Cash surged from lows of $600 to hit highs of $1,400 in under a month.
The coin would go on to surge even higher and hit highs of $1,700 by May. At the time of writing this, Bitcoin Cash is trading around $440.23. For the last two weeks, this price has hardly moved, marking sideways action. In fact, in the last 24 hours, the price has dropped by a mere 0.32%.
The next key position for holders will be $500 on the upper side and $400 on the lower side. If Bitcoin Cash can hit $500, this will spark demand for it and send prices shooting. Pessimistically, if prices drop lower than they are now prices hit anything close or lower than $400, this will send panic across the market and trigger a sell-off, sending prices plummeting even lower.
The sideway actions action being witnessed right now is however not setting the right momentum for this. As we have previously reported, sideways action sets up the market for drops rather than for gains. Even Bitcoin which holds power to move prices for the whole market is stuck in sideways action. However, holders remain optimistic about some good news from the project, which will likely trigger a bull rally.
For the coin to experience some real movement, holders will have to consolidate and trigger some positive momentum. Its current position- around $400, is the coin’s year low position and is something the bulls will have to reverse soon.