Although the crypto markets entered the weekend on a less-than-positive note, with Bitcoin retreating from highs of nearly $5,900 to lows of roughly $5,650, many cryptocurrencies have been able to climb higher today, with Bitcoin Cash (BCH) leading the markets.
Analysts now believe that BCH could be a better short-term play than Bitcoin for traders, as the crypto has “more room to pump” in the near-future.
Bitcoin Cash (BCH) Surges Over 5%
At the time of writing, Bitcoin Cash is trading up 5.3% at its current price of $293.51, up from its daily lows of $275.
Over a seven-day period, BCH is significantly up from its lows of $230, which were set last Monday, and is only down slightly from its highs of $310 which were set on Friday.
The recent market surge has proven to be very positive for Bitcoin Cash, as it surged from lows of $170 in early-April to highs of $336, from which point it settled slightly lower and has traded sideways since.
This recent price action does appear to be emblematic of the formation of a new trading range, with strong support existing around $240, and resistance in the lower-$300 region.
Keshav Narla, a cryptocurrency analyst on Twitter, shared his thoughts on the crypto’s current price action in a recent tweet, explaining that he believes that Bitcoin Cash is growing increasingly bullish, with another upwards surge potentially taking it as high as $340 before it incurs any significant selling pressure.
“$BCH continuing the bullish bias, we appear to be in 5th wave (green) and done with the yellow Subwaves 1 & (2?). We also have a golden cross where 50DMA goes above 200DMA, which is bullish. I expect some resistance at 300DMA ($340),” he noted.
$BCH continuing the bullish bias, we appear to be in 5th wave (green) and done with the yellow Subwaves 1 & (2?). We also have a golden cross where 50DMA goes above 200DMA, which is bullish. I expect some resistance at 300DMA ($340)
Play safe in the 5th wave. All the best! pic.twitter.com/z9PGhm7LQ1
— Keshav R Narla (@imkeshav) May 5, 2019
UB, another popular crypto trader on Twitter, recently explained that he is closely watching to see whether or not BCH/BTC is able to reclaim support at 0.0525, which is slightly higher than its current price of 0.0508.
“$BCH – I entered into a long position a few hours ago. I’d like to see .0525 reclaimed as support on the next test,” he said.
$BCH – I entered into a long position a few hours ago.
— UB (@CryptoUB) May 3, 2019
BCH Could Be A More Profitable Trade Than Bitcoin in Near-Future
Because Bitcoin is currently experiencing some relative levels of stability within the $5,000 region and doesn’t appear to have enough buying pressure to propel it above $6,000, analysts now believe that Bitcoin Cash could be a more profitable trade in the near-future.
Another celebrated analyst, The Crypto Dog, explained this sentiment in a recent tweet, noting that he believes BCH has “a lot more room to pump” than BTC does.
“In case you’re wondering why I’d rather be in $BCH than $BTC right now. Not saying for sure we go straight up (if I knew that I’d just all in no stops), but if we do, Roger’s coin has a lot more room to pump,” he said.
— The Crypto Dog? (@TheCryptoDog) May 5, 2019
As the weekend wraps up and the fresh trading week begins, traders and analysts alike will likely garner greater insight into whether Bitcoin Cash is able to continue surging past its resistance in the lower-$300 region.
Featured image from Shutterstock.