💥💥💥 #bitcoincash (BCH) Price Reclaim $600 after #EthereumETF Approval?
Bitcoin Cash (BCH) saw a 5% rebound to reclaim $490 on May 24, with recent whale activity suggesting further upside potential.
Ethereum ETF Sell-the-News Triggers BCH Volatility
- After the SEC approved the Ethereum ETF on May 23, Bitcoin Cash dropped 11% to a weekly low of $472 before rebounding 5% to $490 by Friday evening. This volatility is due to a "sell-the-news" reaction from swing traders & short-term investors.
BCH Price Action After Ethereum ETF Approval
- The "sell-the-news" strategy, where investors sell off holdings at the peak of bullish news to secure early profits, seemed to play out in the BCH market. After the Ethereum ETF approval, BCH prices plummeted 11% but quickly rebounded.
Whale Investors Boost BCH Holdings
- On-chain data shows that despite a sell-off by swing traders and retail investors, whale investors remained bullish. Santiment data reveals that wallets holding at least 1,000 BCH increased their holdings by 10,000 BCH to a total of 11.93 million BCH since May 20.
- At the current price of $496 per coin, BCH whales have invested approximately $5.2 million. Large whale purchases typically create bullish pressure by reducing market supply & boosting confidence in the asset's future performance.
BCH Price Forecast: Targeting $600
- Following a recent rebound, Bitcoin Cash seems poised to move toward $600, especially if whale buying continues to counteract swing trader selling. The Parabolic SAR indicator supports this bullish outlook, with SAR dots indicating strong support at $454, well below the current price of $493.
- However, BCH faces short-term resistance at $530. Breaking through this level could attract more buyers, potentially pushing the price toward the $600 target.
In summary, Bitcoin Cash's recent price movements, coupled with significant whale activity, indicate potential for further gains, especially if the buying trend continues & resistance at $530 is overcome.
Source - thecryptobasic.com
