The price of BTC has once again surpassed $27,000, but investors are not convinced of a stable recovery. This leads to rapid selling of short-term gains. While there are numerous reasons fueling the ongoing negativity, signs of increased volatility are emerging. So, what is the current situation with Bitcoin Cash, the top competitor to BTC?
Bitcoin Cash (BCH) Analysis
Bitcoin Cash (BCH) regained the $220 region after strongly defending the $180 support last week. This popular Bitcoin fork, which broke the record for gains among the top 20 cryptocurrencies, is having a good year with support from EDX Markets. On-chain data shows that the ongoing movement could continue to $300.
After surviving strong selling pressure in the $180 support region last week, the price experienced a 19% drop in the first 10 days of the month. Whales played a significant role in the recent price recovery. Whales holding between 1,000 and 100,000 BCH coins increased their balance from 7.85 million BCH to 7.92 million BCH by buying 70,000 BCH coins throughout September.
BCH Coin Price Analysis
As mentioned earlier, whales who remain hungry for buying may become even more emboldened after tomorrow’s Fed meeting. Considering that the next meeting will take place on November 1, BCH coin whales will have ample time until new macro data arrives. The weak social volume for BCH Coin emphasizes the potential for further growth in a possible rally.
If the Fed does not raise interest rates as expected and declares that the ceiling has been reached, the target of $300 can be retested with the interest of whales. The first obstacle for this target is the resistance area around $245. Approximately 1.68 million BCH were obtained on average from this level, and profit-taking could be stronger than expected. This would strengthen the resistance zone.
In the bearish scenario, the $211 and $180 support levels are noteworthy. Depending on the performance of Bitcoin’s price, we may see a visit to either the $245 or $211 region soon.
After surpassing $27,400 today, the price of Bitcoin dropped back to $27,100.
