Bitcoin Cash [BCH] mounted an incredibly bullish wave as seemed to enter a Bitcoin Loophole and it stole Bitcoin’s [BTC] thunder. The collective market, in less than 24 hours, added a whopping $30 billion as the top cryptocurrency returned to its glory days of $5,000, taking its proponents back to December 2017.
A slew of announcements coming out of the BCH camp could be the reason behind the whopping 50 percent gain in its price. Kraken’s subsidiary, Crypto Facilities, which provides virtual currency reference data to the Chicago Mercantile Exchange [CME], saw its Bitcoin Cash and Litecoin futures contract spike in the past few weeks, as investors flocked towards the aforementioned cryptos.
Bitcoin Cash also saw developments with their Simple Ledger Protocol [SLP], allowing users to check their tokens developed on the chain seamlessly. From internal specifics to external uses, Bitcoin Cash was one of the six cryptocurrencies to be integrated into Bitcoin.travel, allowing users to book their flights using the sixth largest virtual currency in the market.
Trading patterns are also speculated to have caused this massive BCH price pump. After many analysts stated that the Bitcoin boom emerged from Asian trading market rather than their western contemporaries, Bloomberg reported that the trigger was due to the automated software curated to execute $100 million trades across exchanges. Oliver von Landsberg-Sadie, the chief executive of the BCG group, stated that Coinbase, Kraken, and Bitstamp were the exchanges in question.
According to Landsberg-Sadie,
“If you look at the volumes on each of those three exchanges – there were in-concert, synchronized, units of volume of around 7,000 BTC in an hour.”
A day prior to the price pump, Mati Greenspan, a senior market analyst with eToro stated that Bitcoin’s immediate support level of $4,200 was not important, and the 200-day MA should be looked at with concern. The 200-day moving average of $4,623, if broken, should cause a bull-run and anchor the market to sustain its high. In light of the same analysis, BCH broke its own 200-day moving average.
The moving average for the BCH market was placed at $252.43. However, the coin shattered it as it skyrocketed from $168.85 to $274.23, a staggering 62.41 percent rise against the US dollar in a matter of 20 hours. Following this massive high, Bitcoin Cash dropped to $244.1o, before gaining by 3.5 percent in the past two hours, at press time.
At press time, the coin was trading at $252.66 and hovered close to its 200-day MA level. This was the first time BCH rose above the $250 mark, since its pre-hardfork days.
Over $1.5 billion was added to Bitcoin Cash’s market cap over the past 36 hours as the bulls raged. In the aforementioned period, it peaked at $4.85 billion on 3 April. Since then, the market cap had dipped to $4.32 billion, before rising to $4.47 billion at press time.
Huobi Global recorded the maximum BCH global trade volume, accounting for 8.56 percent of the total volume in the trading pair BCH/USD. Other prominent exchanges on the list were LBank, OEX, and BitForex.
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