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Bitcoin Cash is a blockchain hard forked from Bitcoin
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Bitcoin Cash has faster and cheaper transactions than Bitcoin
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Displaying Some Similarities With Bitcoin, BCH Is Up Over 5%
Bitcoin Cash BCH/USD is a cryptocurrency ranked 30th by market cap. The cryptocurrency was created on August 1, 2017 from a hard fork of the bitcoin network. Bitcoin Cash was intended to solve the challenge of slow and costly transactions on the bitcoin network.
Bitcoin Cash has major similarities with Bitcoin. Both have a hard cap of 21 million tokens. Furthermore, Bitcoin Cash is a proof-of-work blockchain like the mother blockchain. However, BCH is fast and carries low fees. As such, it can support small transactions in addition to smart contract functions.
BCH, the native token of Bitcoin Cash, was not spared from the recent crash. The token trades at $104, up from $400 at the beginning of the year. As of press time, BCH is up 5.10% in the last 24 hours. This is almost the same gain as the 5.16% recorded for bitcoin. We find almost the same trend in the price movement of BCH and BTC. When most cryptocurrencies recover, investors can look to BCH as an alternative. But should you buy it now?
Bitcoin starts a bullish momentum but faces resistance.
Source – TradingView
Technically, BCH is bullish in the short term. The cryptocurrency is recovering as the bullish sentiment develops. The MACD indicator has moved above the moving average, which is indicating a bullish trend. The 14-day and 21-day moving averages provide support for BCH. We expect BCH to continue rising in the near term. The cryptocurrency will face resistance at $111.
closing thoughts
Although BCH is recovering, we cannot confirm a permanent uptrend. Short-term investors should hold up to $111. Long term buying is recommended, however, a decline in the price is possible at the $111 resistance level.