Bitcoin Cash (BCH) price outlook is not looking very bullish as it has underperformed as compared to its closest peer Bitcoin. While the BTC is more than 40% up from its March 2023 lows, the BCH price is up only 14%. Nevertheless, the price is still trading above 200 MA, which can be taken as a sign of strength.
On Friday, most cryptocurrencies are trading sideways as Bitcoin price is struggling to reclaim $28,000 after last night’s drop. BCH price is trading at $121.4 after gaining 0.25% during today’s trading session. The positive price action of the biggest Bitcoin fork comes on a day when BTC is down 0.82% for the day.
BCH Price Retraces As BTC Dominance Surges
The major reason behind the reason Bitcoin price surge is the increase in its dominance. This shows that the investors are moving their capital from lower-capped altcoins to Bitcoin. The ongoing banking crisis in the US has played a key role in this regard, as the anti-bank sentiment peaked in March 2023.
Even though Bitcoin Cash price had a massive rally at the start of the year, the coin has now lost most of its gains. This shows that the leading Bitcoin fork has immensely underperformed as compared to BTC, which is currently trading at its highest level in the last ten months.
Bitcoin Cash Price Holds 200 MA
Despite a lower low on the daily chart, BCH price is still trading above the 200 moving average. As long as the price remains above this indicator, bulls will have a chance to fight back. The major level that the bulls need to reclaim is the $130 level which is also the midpoint of the current range.
A breakout above the $130 level can potentially send the price to new yearly highs of $165, which is also the range high. However, this Bitcoin Cash price prediction will be totally out the window if the price breaks below 200-day MA, that currently lies at $117.1. This will put a retest of the range lows around $95 on the cards.
If you are tired of losing money in crypto, you can join my free Telegram for key market insights and trades.