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Bitcoin Cash [BCH] Technical Analysis: Token turns the tide, emerges as highest gainer amongst top-10 coins

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Bitcoin Cash [BCH] Technical Analysis: Token turns the tide, emerges as highest gainer amongst top-10 coins
Source: Pixabay

Bitcoin Cash has come to the fore, emerging as the highest-gainer in the top-10 as the collective market shot-up above the $120 billion-mark. The fourth-largest cryptocurrency is now head and shoulders above the rest of the coins in the market, in terms of 24-hour price increase, with a massive 7 percent price increase in a bearish market.

On 22 January, the BCH price slipped to a one-month low of $118.8, following which it saw a 10.79 percent increase as the coin’s price shot up to $131.64. The market cap of the coin surged by over $225 million in less than a day and is now valued at $2.31 billion.

Exchange dominance has also seen a re-shuffle, with the top spot being taken over by L-Bank, with a BCH trading volume of $22.52 million or 7.57 percent in the BCH/BTC trading pair. The following two spots are taken by P2PB2B in the BCH/USD and BCH/BTC trading pairs respectively.

1-hour:

Source: Trading View

Source: Trading View

It comes as no surprise that the one-hour BCH trend line shows a stand-out green uptick as the BCH price rapidly rose. Two prominent uptrends can be noticed, the first, larger one, stretching from $120.77 to $129.3 and the second, shorter one, extending from $127 to $130.12. Prior to the uptrends, the BCH price fell during the past weekend, indicated by the downtrend from $128.54 to $121.78.

Bitcoin Cash has skyrocketed past its immediate support level pegged at $119.94 and it is very likely to break its resistance placed at $130.49. The previous support and resistance levels of the coin were placed at $125.72 and $130.18 respectively.

The Chaikin Money Flow indicator points to a bullish market as the CMF line is above 0, indicating an inflow of money into BCH.

The Parabolic SAR shows that the coin is trading with bullish momentum as the dotted lines are aligned below the coin’s trend line.

The Awesome Oscillator confirms the above indications, as the AO line is green, showing a bullish swing to the BCH market.

1-day:

Source: Trading View

Source: Trading View

Despite the positive signs in the above one-hour chart, the one-day chart indicates that post the hardfork, BCH prices are on a steep decline, indicated by the massive downtrend stretching from $626.31 in mid-November to $139.64 in January. A brief uptrend, immediately prior to the hardfork, is also noticed from $429.62 to $628.56.

Bitcoin Cash’s support level of $76.7 has long been surpassed, with the coin trading at almost double of the support figure. However, the recent increase in the BCH price is still not close to the immediate resistance level of $196.84.

The Bollinger Band points to a long-run decrease in volatility for the coin as the Moving Average line shows that the coin is trading in a marginally bearish market.

The Fisher Transform indicator shows a crossing over of the Fisher and Trigger lines, indicating a bullish Bitcoin Cash market.

The Relative Strength Index has been on the rise since the week began and is currently pegged at 43.64, up from a low of 37.34 from last week.

Conclusion:

Bitcoin Cash is currently leading the top-10 coins list in terms of short-term price increase, which is confirmed by the one-hour chart indicators, pointing to a bullish market. In the long-run, however, the coin is still fighting off the bears and is looking to break into a bullish zone, with the one-day chart indicators pointing to the same.





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Bitcoin and Ethereum Classic find themselves on opposite ends of the 51% attack spectrum

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Bitcoin and Ethereum Classic find themselves on opposite ends of the 51% attack spectrum
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Every revolutionary product comes with its own fallacy. However, to its internal metrics, in order for that product to remain adherent to the principle it hopes to expound, the cryptocurrency world is no less. Bitcoin [BTC] and other Proof-of-Work [PoW] cryptos have an in-built fallacy as well, the dreaded “51 percent attack.”

A recent study by cryptocurrency analytics firm LongHash, detailed the cryptocurrencies that are the closest to being subjected to the aforementioned attack.

The report looked at ten of the most significant PoW coins including, Bitcoin, Ethereum [ETH], Bitcoin Cash [BCH], Litecoin [LTC], Dash [DASH], Bitcoin SV [BSV], Zcash [ZEC], Monero [XMR], Ethereum Classic [ETC], and Bitcoin Gold [BTG].

Prior to detailing the study, Longhash listed out the two key points required to execute a 51 percent attack. First, a single mining pool/entity/individual would have to control over 50 percent of a network’s mining power. Second, the energy expenses related to the same, based on renting or sheer purchase of mining power.

Dividing the parameters of performance into two key parts, LongHash initially looked at the one-hour attack cost based on data from OnChainFX as on June 19, and consequently, the percentage of mining power available for rent on NiceHash. The matrix for an unsuccessful attack would be a high one-hour attack cost with low power availability, deeming the network “quite safe.”

Source: LongHash

Bitcoin took the top spot, with the report stating that there exists “very little power available to rent,” coupled with a “very high hourly attack cost.”

Traversing down the estimate cost Y-axis, several coins are scattered including, LTC, ETH, BCH, ZEC, BSV, DASH, and XMR, citing low power available via NiceHash. However, the estimated cost to rent the mining power is fairly low.

The report added,

“Most tokens, however, are clustered in the bottom-right corner of our chart, with low mining power availability and hourly attack costs north of $10,000, which makes them appear relatively safe.”

Moving horizontally further down the total mining power X-axis, BTG is the sole cryptocurrency exhibiting around 35 percent mining power availability on Nice Hash, with the lowest estimated cost to rent 51 percent of mining power for sixty minutes.

The biggest worry by far, was Ethereum Classic. The ETH hardfork had more than 80 percent of its mining power available on NiceHash, while the hourly attack was estimated to cost less than $10,000.

Earlier this year, the ETC network was the subject of a 51 percent attack, with several exchanges pausing ETC-related transactions in the process. The attack led to several cases of network double-spends and re-organisations totaling around $1.1 million or 219,500 ETC.





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