Bitcoin SV and Bitcoin Cash rise significantly with BTC consolidation! Are BSV and BCH prices expected to adjust?
While the Bitcoin price did not experience any notable gains this week, Bitcoin Cash and Bitcoin SV are gaining attention with significant gains. As a result, investors decided to shift their focus away from BTC and invest more aggressively in these two altcoins. Nonetheless, market analysts predict that BSV and BCH prices are likely to decline in the near term as the RSI indicator suggests they are currently in overbought territory.
A profitable address may soon trigger a correction.
This week, both Bitcoin SV (BSV) and Bitcoin Cash (BCH) prices rose to new highs, despite Bitcoin experiencing a correction near $44,000. However, the price increases of BSV and BCH have increased selling pressure, especially on addresses holding profitable positions.
These investors are considering exiting the market to seek opportunities in other emerging altcoins. Typically, when a cryptocurrency experiences a sharp rise after a long period of consolidation, investors tend to liquidate their holdings and invest in other, more volatile assets to take advantage of the upswing. This trend can currently be observed in the case of BSV and BCH.
There has also been a significant increase in large transaction volumes. According to data from IntoTheBlock, whale trading in BCH has steadily increased, reaching a total trading volume of 1.17 million BCH, a move likely driven by the price of the coin attracting whales. However, a significant portion of BSV was liquidated by whales. Given this activity, both BSV and BCH may face potential bearish risk as holders may continue to liquidate their holdings.
Bitcoin SV (BSV) Price Analysis
Bitcoin SV (BSV), a fork of Bitcoin Cash (BCH), soared nearly 50% on Korean cryptocurrency exchange Upbit due to an unexpected surge in trading volume. However, recent selling pressure intensified and the price stopped near $97.
Despite this decline, the presence of long wicks on the candlestick indicates strong buying interest in the immediate Fib channel. Buyers are aiming to retest $97, and if successful, BSV price could target $106-$114. However, an overbought RSI means that BSV price has corrected near current levels.
Bitcoin Cash (BCH) Price Analysis
BCH has surged above $275, showing notable gains from its 20-day exponential moving average (EMA). However, sellers fiercely defended against further surges, triggering a correction.
The Bears are attempting to send the price below $250. However, there was significant buying when the price dropped to $260. Buyers are likely to aim to maintain this upward momentum, with the possibility of pushing the price towards the important target of $300-$330.
Bearish traders may have a different strategy when RSI is trading near the overbought region. They could try to block an upward move above $300 and initiate a price correction. To regain control, sellers will need to pull the price below the EMA20 trendline.