Altcoin
Bitcoin Cash’s new listing and Asia’s turn-up lands BCH here
BCH was the unsung star of the market in the past week. Interestingly, the dominance has not stopped and here’s what is responsible.
- The trading volume of BCH increased exponentially amid a new exchange listing and Asian participation.
- Balance on addresses rose, and so did the Open Interest.
Bitcoin Cash [BCH] hit a daily trading volume of $750 million— the highest the coin has reached all year. The data, shared by IntoTheBlock, revealed that the hike occurred as a result of EDX Markets’ inclusion of BCH in its first set of trading assets.
Realistic or not, here’s BCH’s market cap in BTC terms
The hike in volume represents a renewed interest in BCH, which had until recently lacked attention. However, the increase did not come without a surge in the price action
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Source: IntoTheBlock
According to CoinMarketCap, BCH’s price increased by 112.34% in the last seven days. But what was the driving force?
High-priority, Upbit reign
For starters, BCH, alongside Bitcoin [BTC], Litecoin [LTC], and Ethereum [ETH] was listed on EDX Markets last week.
For the unfamiliar, EDX Markets was recently launched on 20 June. And traditional finance firms Citadel Securities, Charles Schwab and Fidelity Digital Assets were involved in powering the cryptocurrency exchange. However, the institutions did not deem it fit to list tens of cryptocurrencies but only considered the above-mentioned.
Also, the decision to list the four cryptocurrencies could be associated with the recent U.S. SEC clampdown on many other cryptocurrencies. Perhaps, the traditional firms would rather stick to the “safe” assets, especially as Chair Gary Gensler once said they were not securities.
The move came moments after the SEC approved BlackRock’s Bitcoin-leveraged ETFs, pointing to another proof that institutional money was rapidly entering the crypto market.
Secondly, South Korea contributed its part in ensuring that the Bitcoin hard fork pump does not stop. According to CoinMarketCap, the country’s largest exchange Upbit’s BCH/KRW trading volume was over $460 million in the last 24 hours.
This represented a 24.51% share of the entire volume across all exchanges. And it was also much more than the SOL/KRW and BTC/KRW pairs which came second and third respectively.
BCH fits the “New Balance”
Besides, IntoTheBlock also showed that BCH experienced a substantial addition of BCH less than 30 days back. This was based on the “Balance by Time Held” indicator. Typically, this indicator considers the number of addresses relative to their holding period.
And by keeping track of participants’ behavior, the 33% hike in the indicator suggests that many addresses increased their balance. And oftentimes, this tends to be a sign of the bull cycle entry.
Source: IntoTheBlock
How much are 1,10,100 BCHs worth today?
On the derivative front, BCH’s Open Interest reached its Year-To-Date (YTD) high as of this writing. Usually, Open Interest measures the total number of future contracts held by participants while evaluating price strength and market sentiment.
Since the Open Interest increased, it means that traders were opening new positions. Also, the tremendous spike indicates massive money inflow into the BCH market.
Source: Coinglass
