Bitcoin Cash Declines

last updated on

Bitcoin Cash Declines

Bitcoin Cash Declines 20% This Week On Mt. Gox Repayments

This week alone, Bitcoin Cash declined by almost 20% and even crossed the $378.6 support level in the weekly timeframe.

Bitcoin Cash is currently seen as being near the $310 handle, with the next support at $300 and the next resistance at $350. Today, Bitcoin Cash has shed another 6%, which has sent shockwaves across the investors and traders of this altcoin.

Mt. Gox Starts Its Repayment Plan

The recent crash of Bitcoin Cash came after an announcement that Mt. Gox will start repaying starting in July. This was followed by moving around $2.71 billion worth of Bitcoin (BTC) which is a sign of uncertainty and market fear.

According to experts, this will lead to a further decline in Bitcoin Cash (BCH) during the next few weeks as the market participants are fearful of what's ahead.

The available data shows that Mt. Gox has transferred $2.71 billion worth of BTC from its cold wallet. Out of these, around $148.4 million worth of BTC were moved out of the company's wallets. Similarly, around $84.9 million was sent to Bitbank, while around $63.6 million was sent to another unknown party.

Even after sending such a huge amount of money, one wallet of Mt. Gox still has 44527 BTC. As for the total worth of BTC in all the wallets of Mt. Gox, it is still worth around $7.52 billion.

The recent crash has sent the Bitcoin Cash lower with eyes now set on the $300 support level. According to experts, the BCH is set to shed another 20% of its value this week, which will send it lower towards the $280 - $300 area.

Additionally, a break below the trendline will send the BCH to crash another 24% and move towards the $210 support area.

The RSI indicator on the BCH's weekly chart shows a reading below the 50 while the AO is also showing similar signs. According to experts, this is a sign that the momentum favors the BCH bears which means more downside in the coming weeks.

Trending Stories