The former CEO of Bitcoin, Roger Ver, is a major advocate of Bitcoin Cash. A report published on Wednesday suggests crypto exchange CoinFLEX owes $47 million to Mr. Ver. The CEO of CoinFLEX, Mark Lamb, published a written agreement between them. He added that the CoinFLEX authority has already notified Roger Ver about this agreement and defaults.
On the other hand, Roger Ver denied all the claims and accused CoinFLEX of defaulting on a substantial amount of money. As a result, the price of Bitcoin Cash dropped significantly, prevailing a bearish sentiment based on this news. Although this downfall in BCH price may not last long, the price may retrace to the previous level after the settlement.
At the time of writing this post, BCH was trading around $103.98. The coin has been bearish since April. $200 was a strong support level, but BCH has broken the level. On the daily chart, RSI is in the oversold zone, MACD is neutral, and candlesticks are forming just above the lower line of Bollinger Bands. Thus, it is not a good time to invest in the short term.
Based on the price action, $90 can be a support in the long term, but it may break the level this time because most of the technical indicators reflect bearishness. RSI is in a deeply oversold zone; many analysts suggest it is the bottom of this cryptocurrency.
On the contrary, some analysts may suggest investing in Bitcoin Cash for the long term. However, we would recommend all the retail investors to wait for a better opportunity until the coin turns bullish.
The crypto market has seen an outflow of money due to inflation and interest rate hike, but now it may stabilize. It is a time to accumulate large-cap cryptocurrencies such as Ethereum and Bitcoin because if the crypto market turns green, the large-cap will be the first to provide you profit.
However, in the long term, $700 will be a strong resistance level, and we can see a profit booking at that level, but if you invest in $100, it will still provide a handsome profit.
