It appears most of the cryptocurrencies will see some big setbacks later today. Some gains achieved by both Bitcoin and Ethereum are being wiped out over the past few hours. That usually doesn’t bode well for the altcoins. The Bitcoin Cash price, for example, is already down by 2.41%. This may be an indication of what is yet to come.
Bitcoin Cash Price Drops Slightly
After the relatively bullish momentum over the past few days, it is not entirely surprising to see a temporary correction set in. Although it remains to be seen how things will evolve in the coming hours, the Bitcoin Cash price has already dropped by 2.41% in the past 24 hours. This is not a positive trend, but it is not surprising either.
This current Bitcoin Cash price decline needs to be put into its proper perspective. Although there is a minor decline to be noted, the overall price trend remains positive. After all, a value of $760 per BCH is not all that bad at this stage, even though a lot of speculators would gladly see things differently in this regard. There is still a double-digit Bitcoin Cash price uptrend over the past week, which will not be eradicated overnight.
As one would expect from such a downtrend, there is a decline in the BCH/BTC ratio over the past 24 hours. Due to a 3.36% decline in this ratio, it is only normal the Bitcoin Cash price declines a bit. Even though Bitcoin’s value is still in the green, it is possible the world’s leading cryptocurrency will face a correction later today.
One thing worth taking note of is how the overall Bitcoin Cash trading volume still looks fairly healthy. More specifically, there is nearly half a billion in 24-hour trades, which is a lot higher compared to other altcoins on the market today. If this trading volume remains in place for some time to come, most of the current Bitcoin Cash price losses will be regained fairly soon.
The vast majority of BCH trading volume comes from OKEx as of right now. Its USDT pair is well ahead of Huobi’s USDT pair. Bitfinex’s USD pair is in third place, followed by HitBTC’s BTC pair and OKEx’s BTC market. One fiat currency pair in the top five isn’t too encouraging, but things will continue to truck along accordingly. The two USDT pairs in the top three will also play their role in this regard.
With the entire cryptocurrency market on the brink of undergoing a brief correction, it will be interesting to see how the situation evolves in the coming hours. The weekend is almost upon us once again, which usually spells for trading volume. Even so, the cryptocurrency markets will remain volatile first and foremost, and that situation will not change anytime soon either.
Image(s): Shutterstock.com