Bitcoin Cash Price Analysis and Prediction: Can BCH Maintain Its Increase Above $444?
The price of Bitcoin Cash has been on a rollercoaster ride since reaching its yearly high of $720 on April 5. Following its second halving on April 3, the price has corrected nearly 40%, causing uncertainty among investors. Despite a bounce on May 1, it remains unclear if this marks the end of the corrective wave four.
The daily time frame wave count indicates that Bitcoin Cash started a five-wave increase in June, leading to the high of $720. However, a bearish divergence in the daily RSI has contributed to the ongoing decline, with the price dipping below the critical support level of $444. The recent bounce has reclaimed this level, but the lack of momentum in the RSI raises questions about the correction’s completion.
To determine if the correction is over, a closer look at lower time frames is necessary. If the price can maintain its increase above $444 and validate it as support, it may signal the beginning of wave five towards the target of $914. However, a breakdown below this level could deepen the correction towards $380.
Comparisons to the previous halving in 2020 show significant differences in price movement and indicator readings. The current halving scenario suggests that Bitcoin Cash may first correct before resuming its upward trend. The daily RSI has generated bearish divergence, indicating a possible correction towards $460 before potentially moving to the next resistance at $834.
Overall, the future of Bitcoin Cash post-halving remains uncertain, with investors closely monitoring price movements and key support levels to determine the next steps in this volatile market.