Typically, strategic investors may view such considerable increase in average transaction size as a prime bullish signal for two key reasons.
First, larger transactions often indicate the involvement of institutional investors or high-net-worth individuals.
These entities usually conduct thorough market analysis before making substantial investments, signaling their confidence in the asset’s potential for growth. When institutional players enter the market, it often leads to increased liquidity and stability, encouraging other investors to follow suit.
Secondly, a rise in average transaction size amid a market wide rally suggests that Bitcoin Cash is being used for significant financial activities, such as large-scale payments or purchases.
These factors could combine to propel BCH price to new heights in the second-half of May 2024.
BCH Price Forecast: $500 Milestone Now Within Reach
Bitcoin cash price has reached the $472 mark at the time of writing on May 2024 up 15.8% increase in the last 72 hours. However, the 1,148% surge in the daily average transaction size suggest BCH price is now likely to charge towards the $500 territory in the days ahead.
But notably, the Parabolic SAR technical indicator currently points towards $491, which is higher than the current BCH price at $472.
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