At the time of writing BCH is bring traded at the price of $639.57 with an increase of 2.28% in the last 24 hours. It has a market dominance of almost 0.46%. BCH is listed on coinmarketcap and is ranked on the 18th spot. In the past 24 hours, the trading volume has increased by almost 22.89%.
Bitcoin cash (BCH) has shown several reasons to be bullish in the coming days but obviously, it can be entirely opposite as in trading, it is all about probabilities.
Monthly and weekly doesn’t seems to show any directional bias, as we just see a parabolic move, balancing each side, and showing equal strength on weekly and monthly. So rest is daily which is showing several things which can be traded upon.
As mentioned before about parabolic movement, BCH when it made its all time high, started to retrace back the impulsive leg. Now, this retracement actually mitigated all of the impulsive leg, which is just balancing the whole move.
Now this retracement lasted till 20 July 2021, when the price of BCH made a double bottom, which resulted in a rally to the upside. Obviously, this created liquidity which the market may cover in the future but its not always 100% that market will grab that. after the pattern formation, the market created liquidity several times which was soon taken out, and the last one occurred at the 6th of September, when the price stop hunted the previous trendline, and grabbed the orders placed above. Its very clear that as soon as the stop hunt occurred i.e. turtle soup pattern, price aggressively pushed to the downside leaving imbalance and unmitigated orders behind. This aggressive move shows us the intentions of large institutions. Now as being these 2 left behind, these can drive the price back to the upside as if they don’t, it’d be quite unhealthy for the market.
Now recently structure when shifted upside, BCH movement in our favor, besides that, the liquidity which price is engineering, can also be considered as a confluence. Furthermore, with a closer look, a pole flag pattern is seen , which gives an additional edge that price might continue the expansion move which might eventually last till the above order block.