Bitcoin Cash Price Technical Analysis – BCH/USD Breaks Higher




Bitcoin Cash Price Technical Analysis BCH USD

Key Points

  • Bitcoin cash price finally made a nice upside move and traded above $550 against the US Dollar.
  • This week’s important descending channel pattern with major resistance near $575 on the hourly chart of BCH/USD (data feed from Kraken) was broken.
  • Yesterday’s idea of a possible break worked and the price is now above $580 and in the bullish zone.

Bitcoin cash price made a nice upside move above $580 against the US Dollar. BCH/USD is now back in the bullish zone and could trade above $620.

Bitcoin Cash Price Support

This week we followed a bearish path below $650 in in Bitcoin cash price against the US Dollar. Yesterday’s I mentioned that there is a chance that BCH could finally break the $550-580 resistance to trade higher. It finally made a nice upside move and traded above $580 to register decent gains. The upside move was such that the price climbed above the 50% Fib retracement level of the last decline from the $665 high to $520 low. It opened the doors for more gains and the price traded above $580.

The most important break was above this week’s long followed descending channel pattern with major resistance near $575 on the hourly chart of BCH/USD. The price traded as high as $610.14 and currently consolidating gains. If the current momentum stays, there is a chance of it breaking $610 for a move towards $640.

Bitcoin Cash Price Technical Analysis BCH USD

At the moment, the pair is testing the 23.6% Fib retracement level of the last wave from the $520 low to $610 high. Buying dips in the near term towards $570-550 can be considered with a tight stop.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is about to move back in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI is in the bullish zone near the 60 level.

Major Support Level – $575

Major Resistance Level – $610

 

Charts courtesy – Trading View, Kraken

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

Published by

Aayush Jindal

Aayush has spent over a DECADE as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is
well known for his entertaining and informative analysis of the currency, commodities, Bitcoin and Ethereum markets. He is a software engineer by profession, loves blogging and observing financial markets.

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