As was to be expected sooner or later, the Bitcoin Cash price is undergoing a massive correction right now. More specifically, while the Bitcoin price is surging again, people are ditching BCH as quickly as possible. With a 21.33% drop over the past 24 hours, the Bitcoin Cash price is struggling to remain above US$1,000. It is evident this situation may become unmanageable pretty quickly unless something changes.
Bitcoin Cash Price Correction is Nasty
While a lot of people held out hope that the Bitcoin Cash price would return to US$2,800 this week, that seems increasingly unlikely right now. In fact, it may prove virtually impossible to maintain a Bitcoin Cash price of over US$1,000 for much longer. Right now, one BCH is still worth US$1,020, but the bearish momentum is only intensifying as time progresses. This downtrend isn’t entirely unexpected, though, as last week’s pump-and-dump cycle had to come to an end sooner or later.
More specifically, we have seen significant Bitcoin Cash price volatility over the past seven days. We started out at a price of US$623.44 a week ago and quickly rose to over US$2,500 in the next few days. At one point, one BCH was valued at over half a Bitcoin while the world’s leading cryptocurrency was struggling. Some people claimed Bitcoin Cash would become the new Bitcoin, but that idyllic thought never came true, for obvious reasons.
Ever since that peak, the Bitcoin Cash price has declined substantially. That is only normal, as such sudden growth cannot be sustained in the long run. With the price dropping first to US$1,500 and then even lower, things have taken a turn for the worse. In the last 24 hours, we’ve seen a 27.31% decline against Bitcoin, bringing the BCH value back to 0.136 BTC. That’s a long way away from the all-time high of over 0.5 BTC, and it seems the downturn is far from over at this point in time.
The Bitcoin Cash trading volume is also drying up, by the look of things. While US$1.56 billion over 24 hours is still pretty solid, it is a lot lower compared to the US$4 billion of just two days ago. It is evident most people are looking to sell BCH right now, pushing the Bitcoin Cash price down even further. People want to claim their profits or cut their losses, depending on when they started buying into the hype. Die-hard supporters will still claim this was never a pump, but the charts certainly state otherwise.
Although Bithumb is still the largest exchange provider of Bitcoin Cash right now, it is the only one generating over US$500 million in daily volume right now. Bitfinex and HitBTC round out the top three exchanges with around one-fourth of this number. It is evident that interest in this altcoin is waning now that there is no more big money to be made overnight. It will be interesting to see how the market values Bitcoin Cash in the coming days, as catching this falling knife may prove to be either lucrative or harmful for one’s overall wealth.
All things considered, the Bitcoin Cash price correction was only a matter of time. It is unclear if this sell-off was triggered by the current Bitcoin price trend, though. Belief in BCH is still strong, but it isn’t enough to maintain continued gains. All markets eventually recover, and the future isn’t looking all that bad for BCH. A big setback won’t spell the end of this altcoin whatsoever.