The bearish trend of the week is still ongoing, with Bitcoin Cash no exception to the market plunge that has thus far drained the joy out of investors and blood out of a number of cryptocurrencies. Prices are dipping continuously since this time last week.
We have seen some short stints of stabilization which did made us hopeful that the markets would start a reversal, these however have been in vain and the outlook is rather gloomy, the markets are still dropping at an alarming rate.
We should look beyond the short-term state of today though and see how this situation may set us up for another market recovery in the coming weeks.
Same as Bitcoin and Ethereum, Bitcoin Cash has a historical propensity to make huge spikes in price in the light of market droughts.
At the time of writing, Bitcoin Cash is valued at $1,207.66, a drop of 6.66% and overall, down from a recent high of around $1,818.63.
I want to draw your attention on two historic Bitcoin Cash dips. First, on the 6th of February, following the path of Bitcoin, Bitcoin Cash declined to a low of $784.68. Just two weeks later, on the 18th of February, we witnessed Bitcoin Cash almost doubling its value – sitting at $1,616.66. This is a soar of almost $800.00 in just under 15 days.
Next example of a similar behavious, when Bitcoin Cash fell at $663.57 on the 12th of April, before rocketing to $1,539.38 on the 24th of April, again, in less than 15 days. You might spot a trend here, as this was another gain of around $800.00.
So, with all that mentioned, it is pretty obvious that Bitcoin Cash likes to make huge jumps in price at a first sign of market healing. Another similar surge of around $800 could see BCH land at the $2000 mark.
However, this is only mine interpretation of historical tendencies of this coin – not investment advice. In times of market bleeding, it is always good to make notice of behavior of different coins so you can act fast once you spot a sentiment shift. Right now, bears are reigning and it seems the bulls are to shy to try and change that. However, I would keep an eye on BCH as it could very well be the first altcoin that joins the bull run wagon.
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