- Novogratz believes that institutional buyers will be the force towards the $20 trillion cap.
- Bitcoin Cash price $950 zone is the immediate resistance, but the key breakout point is at $1,000.
Bitcoin Cash price joined Bitcoin and other major coins in the latest slide that has been linked to the CFTC investigation into Coinbase, Kraken and ItBit exchanges. Another event in the market that could have affected the prices though marginally is the hacking of Coinrail, a crypto exchange based in South Korea.
Bitcoin Cash rejected some key support areas at $1,125 – $1,100, $1,000 and $900. BCH/USD is now trading above $900, besides there is a bullish trend that is pushing the price higher. At the moment, $950 is the immediate resistance, but the key breakout point is at $1,000.
The 61.8% Fib retracement level with the previous swing high of $1,201 and a low of $881 will offer more resistance as the bulls push for higher corrections slightly above the breakout ($1,000). A support is observed at $925, although a stronger support has been provided at $875 in the event of extended declines.
In other crypto news, a former trader at Goldman Sachs, Mike Novogratz has bullishly predicted that the digital asset market will hit the ranges of $20 trillion market value. While speaking to Bloomberg, the Billionaire and business guru said that the crypto market has never experienced a bubble. This was in reference to the surge at the beginning of 2018 noting that if a bubble happened then we would not have the cryptos by now. Novogratz said in with reference to the internet bubble:
“[Cryptocurrency] is a global revolution. The internet bubble was only a U.S. thing. It was rich U.S. people participating. [Cryptocurrency] is global. There are kids in Bangladesh buying coins. It is monstrous in Tokyo, in South Korea, in China, in India, and in Russia. We’ve got a global market and a global mania. This will feel like a bubble when we’re at $20 trillion.”
Novogratz believes that institutional buyers will be the force towards the $20 trillion cap. He adds:
“It won’t go there ($20 trillion) right away. What is going to happen is, one of these intrepid pension funds, somebody who is a market leader, is going to say, you know what? We’ve got custody, Goldman Sachs is involved, Bloomberg has an index I can track my performance against, and they’re going to buy. And all of the sudden, the second guy buys. The same FOMO that you saw in retail [will be]demonstrated by institutional investors”.
BCH/USD 1-hour chart