BCHBTC severely oversold, technical rebound ahead
Updated
I don't want to put a "long" tag on this one, because I personally think BTC will reach 18k tomorrow and stop there; this will lead to a period of confusion, and on Monday BTC will crash, along with it many coins will go down in dollar terms.
However, I think BCHBTC is likely to rebound as it is severely oversold. I understand that many people wanted to have bitcoin not bitcoin cash and these are the weak hands. In this period, it is unwise to buy BCH because the price won't rebound until either 1. all weak hands are out or 2. bitcoin crashes while bch gets a big push (possibly from its supporters who have made a killing in filpping earlier to bitcoin).
Technically, BCHBTC has almost hit rock bottom. It has retraced almost 100% of earlier gains. With a strong community support (if not support on the exchanges), it's not going much lower. I think the minimum it could go would be 0.06.
I think it is highly likely that by Monday we'll see a jump in BCHBTC. The target is hard to say. It depends on the market sentiment (which at the moment is misled by the belief that bitcoin will become mainstream and loved by wall street).
On the last point:
a. A cash-settled "financial instrument" aka derivative aka bet isn't going to help cryptocurrencies in any shape or form. Have you seen cocks benefit from cock fights?
b. Wall street doesn't love bets not backed by the government (aka bailout). There're so much money to be made everywhere, bitcoin is a small fish that's potentially poisonous.
c. Whether bitcoin becomes mainstream depends on its use case, even if this case is in a store of value (the gold argument), not price speculation.
Now, I'm not saying BCHUSD will go up. The situation is very fluid. I admit I'm incapable of predicting the future. I'm just looking at the technical points and the market sentiment.
However, I think BCHBTC is likely to rebound as it is severely oversold. I understand that many people wanted to have bitcoin not bitcoin cash and these are the weak hands. In this period, it is unwise to buy BCH because the price won't rebound until either 1. all weak hands are out or 2. bitcoin crashes while bch gets a big push (possibly from its supporters who have made a killing in filpping earlier to bitcoin).
Technically, BCHBTC has almost hit rock bottom. It has retraced almost 100% of earlier gains. With a strong community support (if not support on the exchanges), it's not going much lower. I think the minimum it could go would be 0.06.
I think it is highly likely that by Monday we'll see a jump in BCHBTC. The target is hard to say. It depends on the market sentiment (which at the moment is misled by the belief that bitcoin will become mainstream and loved by wall street).
On the last point:
a. A cash-settled "financial instrument" aka derivative aka bet isn't going to help cryptocurrencies in any shape or form. Have you seen cocks benefit from cock fights?
b. Wall street doesn't love bets not backed by the government (aka bailout). There're so much money to be made everywhere, bitcoin is a small fish that's potentially poisonous.
c. Whether bitcoin becomes mainstream depends on its use case, even if this case is in a store of value (the gold argument), not price speculation.
Now, I'm not saying BCHUSD will go up. The situation is very fluid. I admit I'm incapable of predicting the future. I'm just looking at the technical points and the market sentiment.
Note
Check out my website: jlteng.comNote
Updated as requested: so BCH has rebounded. Since Wall Street has announced that they're shying away from the BTC derivatives at the moment, the illusion around BTC is disappearing. BCH has indicated that it's turning strong, so I think (my personal opinion; please invest only based on your own judgement; I cannot be responsible for your decisions) it will keep going up.If my count is correct, this would be the beginning of Wave III. It should be bullish.
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