Over the last month, Bitcoin Cash (BCH) has been attempting to recover from a substantial downtrend that hit the entire cryptocurrency market hard over July.

However, despite recovering from $250 up to $360, BCH suffered a substantial drop to $290 last week before recovering around 10% to the $320 region.

Last week, there was an important recovery which saw BCH climb back above all its EMAs. However, this momentum seems to have run out of steam.

Let’s find out why.

Looking at the chart above, we can see that the price of BCH was trading above all its EMAs last week at around $350. Unfortunately, the gains were lost and the price came crawling back down to below $300. At its lowest point during the past week, BCH touched $271 before recovering almost immediately to the $300-$310 level.

Volumes, which also seemed to be recovering, took a plunge to around $1 billion.

The bears and bulls are now tussling again, keeping any price increases relatively small. At the moment though, BCH’s recovery is well underway.

Last week, I mentioned I expected the coin to touch $360 if it kept up its momentum. This is still a target for later in the month.

Be prepared for sudden moves towards $280 and down to $258, though. To go any lower, BCH would need to break most of its price walls – something I don’t think will happen.

In addition, BCH is trading close to its bottom vs BTC – as I highlighted earlier this month – meaning we could be near a reversal.

Safe trades!

BCH fundamentals

I recently spoke with Bitcoin Cash’s strongest advocate, Roger Ver, and discussed the most recent developments on the horizon for BCH. You can find all the details here, but the most juicy news seems to be the recent spike in adoption due to the implementation of smart contracts. Roger, like myself, believes key components for mass adoption are speed and flexibility. What Bitcoin Cash Oracles offers is a way for any user to easily deploy an “escrow” transaction that can be used to trade globally – without the hassle of trusting the other party.

I personally think these “trade escrows” will be key in terms of adoption, especially for work-related tasks. In a way, they do enable milestone-based funding, which may be the new and better way of conducting ICOs instead of simply creating an extra layer of complexity with STOs that require KYC and accreditation – something that goes against what we should be promoting within the crypto ecosystem.