Bitcoin Cash price surged during the weekend and then pulled back. BCH rose to a multi-year high of $529.82 on Saturday and has now has retreated to $460. Still, it remains much higher than its 2022 low of $90.
Bitcoin Cash halving ahead
Bitcoin Cash has an important catalyst that is set to happen in April. Like Bitcoin, the network goes through halving after every four years. This halving happens because the two networks are built using the same code.
Bitcoin Cash will, therefore, have a halving event on April 20th of this year. This halving will happen when the coin’s block height moves to 840,000, higher than the current height of 835,571.
Halving is a situation where the number of Bitcoin rewards is slashed by half. In this case, the block reward will be reduced from 6.25 BCH to 3.12 BCH.
Bitcoin Cash, like BTC, has a supply cap of 21 million. According to CoinMarketCap, over 19.65 million coins have already been mined. This means that miners have less than 1.5 million more coins to mine.
Meanwhile, the mining difficulty has continued rising. Data shows that the difficulty has moved to a record high of about 500G. Its hash rate, a good measure of a network’s health, rose to a record high of 8 EH/s on Saturday and has now retreated to 2.35 EH/s. It is unclear why this hash rate has retreated.
Looking ahead, there is a likelihood that the Bitcoin Cash price will continue doing well as the crypto bull run gains steam. Bitcoin has already surged to over $68,000 and there is a likelihood that it will get to $70,000 on Tuesday.
Bitcoin Cash tends to do well when BTC is soaring. Many traders prefer buying BCH because of its cheaper price compared to BTC. For example, $10,000 can buy 21 Bitcoin Cas coins compared to 0.14 BTCs.
Read more: How to buy Bitcoin Cash.
Bitcoin Cash price forecast
Turning to the daily chart, we see that the BCH price surged to a high of $529 on Saturday. Now, the coin has pulled back as some investors start take profits. It has remained above all moving averages and the crucial support level at $328, its highest point on June 30th.
Meanwhile, the Relative Strength Index (RSI) has retreated but it remains above the overbought point of 80. The MACD indicator has also moved above the neutral point. Therefore, the outlook for the coin is still bullish, with the next point to watch being the YTD high of $529. A move above this price will see it soar to the key resistance point at $600.
