- Bitcoin Cash is the fastest growing altcoin on Wednesday.
- The upside may be limited by $420 handle.
Bitcoin Cash (BCH) has recovered from Tuesday’s low of $362 to trade marginally above $400 handle at the time of writing. The 4th largest digital asset with the current market capitalization of $6.9 billion, has stayed mostly unchanged since this time on Tuesday but gained nearly 6% since the beginning of Wednesday. BCH has an average daily trading volume of $2.3 billion. Litecoin is most actively traded on Binance against USDT.
Looking technically, BCH/USD recovery is capped by $420 handle, strengthened by SMA100 (Simple Moving Average) on the 4-hour timeframe. Once it is out of the way, the upside is likely to gain traction with the next focus on $430 (SMA50, 4-hour). The ultimate resistance awaits us on approach to the recent high of $483. That’s where a fresh selling interest is likely to appear.
On the downside, a sustainable move below $400 will open up the way towards $375 handle (SMA200, 4-hour) and to the recent low of $362. Meanwhile, the support crested by SMA50 daily at $345 will stop the sell-off and serve as a jumping-off ground for another leg higher.
BCH/USD, 4-hour chart
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