BCHUSD Analysis and Forecast (Sep 27th, 2018): Bitmain IPO has been supporting Bitcoin Cash

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Bitmain announced its official IPO application which accelerated Bitcoin Cash up more than 20% over the past 24 hours.

On Sep 26, Bitcoin Cash (BCH) recorded the highest increase by 27.95% among top 20 cryptocurrencies, and was settled at $514.5 at the end of the trading session. In the meantime, Bitmain, one of the largest cryptocurrency mining companies, has applied for initial public offering (IPO) to Hong Kong Stock Exchange (HKEX). The giant has submitted the prospectus with significant revenue and outstanding financial figures.

BCH, BCHUSD, bitcoin cash, bitmain, IPO, Hong Kong, China, mining bitcoin
Cryptocurrency market overview from coin360.io

According to Coindesk, Bitmain has witnessed a dramatic growth from 2015 to the first half of 2018. Only in two first quarters of 2018, Bitmain’s net profit was $952.1 million which equals to net profit of the whole year 2017.

BCH, BCHUSD, bitcoin cash, bitmain, IPO, Hong Kong, China, mining bitcoin

In a report leaked from Bitmain investors, digital assets account for 28% of Bitmain balance sheet, including Bitcoin, Bitcoin Cash, Ethereum, Litecoin and Dash. Value of these assets has deteriorated by more than $102.7 million over the past six months due to market collapse.

BCH, BCHUSD, bitcoin cash, bitmain, IPO, Hong Kong, China, mining bitcoin
Leaked source from Bitmain investors

Bitmain, who strongly supported Bitcoin Cash hardfork from Bitcoin in 2017, is supposed to hold an enormous number of BCH which is equivalent to $530 million. There’s a rumor that Bitmain has been selling off their Bitcoin for Bitcoin Cash in order to prepare for their IPO. The market has digested this news as a positive signal for Bitcoin Cash.

Technically, in chart H4, BCHUSD succeeded in breaking the resistant level of $510.2 with four consecutive candles closing above the level. Trading volume is much higher than previous days, implying that the bear is trying to struggle in vain with the bull. The pair is anticipated to retreat a little bit before surging up to the highest level of $657.7 in September.

BCH, BCHUSD, bitcoin cash, bitmain, IPO, Hong Kong, China, mining bitcoin
BCHUSD price chart H4 27092018

Written by nami.today

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