The cryptocurrency market continues to face a correction phase, while Bitcoin Cash shows interesting technical signals indicating a possible repeat of the 2021 scenario.
Current Situation of Bitcoin Cash
The cryptocurrency market has been undergoing a prolonged correction, with Bitcoin Cash (BCH) experiencing a decline of over 37% in the last 90 days. This downturn has negatively impacted investor sentiment.
Comparison with 2021
The current price structure of BCH resembles the patterns observed from 2019 to 2021. The chart shows a series of rounded bottoms forming below a long-term descending trendline. In 2021, following a breakthrough of this line, BCH surged over 700%.
Prospects for Bitcoin Cash Growth
Currently, BCH is completing its third rounded bottom, forming a large cup-like structure on the weekly chart. The existing price is being held in the accumulation zone ($250–$300). A breakout above the descending trendline could trigger significant upward movement.
Despite the current correction, the information regarding Bitcoin Cash's technical formations raises questions about the potential for new growth similar to that seen in 2021. Investors should closely monitor the evolving situation.
