Bitcoin Cash Price Prediction: Is BCH Heading Towards $1,000?

Bitcoin - BTCUSD

The Bitcoin cash price is hovering near its highest point in July 2018 as investors react to the strong performance in the cryptocurrencies industry. The BCH price is trading at $709, slightly below the year-to-date high of $773.

Fundamental analysis

The focus this week has been on Bitcoin, whose price crossed the important $50,000 milestone yesterday. Other currencies have also done well recently. For example, the Bitcoin Cash price has jumped by more than 34% in the past seven days, bringing the total market cap to more than $13 billion. This makes it the 9th biggest digital currency in the world.

Bitcoin cash is often viewed as a proxy for Bitcoin. Many small investors tend to invest in it because of its low nominal price compared to the main BTC. In fact, one BTC can now buy about 70 Bitcoin cash. The currency has also recently gained support from some prominent figures, including Kim Dot Com, the New Zealand tech entrepreneur.

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Bitcoin Cash price prediction

Turning to the daily chart, we see that the BCH price has been on a strong uptrend in the past few months. It has risen by more than 250% since August last year. And this week, the price moved above the important resistance at $653, which was the previous highest point. In fact, the currency managed to move above what seems like a cup and handle pattern. 

Therefore, in the longer term, I believe that the Bitcoin Cash price will rise to $1,000. This will mostly happen if the main Bitcoin continues to receive institutional support. However, in the near term, a drop to $600 will lead to a short-term correction.

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BCH price chart

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Crispus Nyaga: Crispus Nyaga is a self-taught financial analyst and trader with more than seven years in the industry. He has worked for some of the biggest brokers in Europe and Australia as an analyst, coach, and course creator. He has a wealth of experience in equities, currencies, commodities, and global macroeconomic issues. He has also published for prominent financial publications like SeekingAlpha, Forbes, Investing.com, and Marketwatch. Crispus graduated with a Bachelor’s of Science in 2013, an MBA in 2017, and is currently working on an MSc in Financial Engineering from WorldQuant University. When he is not trading and writing, you can find him relaxing with his son.