- Bitcoin cash price gained heavy momentum and was able to move above $2000 against the US Dollar.
- Yesterday’s highlighted key bullish trend line with current support at $1850 is intact on the hourly chart of BCH/USD (data feed from Kraken).
- The pair might correct a few points, but it remains supported above the $1900 level.
Bitcoin cash price made a nice upside move above $2000 against the US Dollar. BCH/USD may continue to gain pace and remains a buy around $1900.
Bitcoin Cash Price Buy Dips
Yesterday, we discussed how bitcoin cash price was preparing for more gains above $1850 against the US Dollar. The price made a nice upside move and traded above the $2000 level. The upside move was decent and the price traded above the $2200 level as well. A high was formed at $2291 from where a short-term correction was initiated. It declined below the 23.6% Fib retracement level of the last wave from the $1750 low to $2291 high.
However, the downside move was well protected by the $2000 level. The mentioned $2000 level was a resistance earlier and now it is acting as a support. Moreover, the price was rejected from the 50% Fib retracement level of the last wave from the $1750 low to $2291 high. On the downside, yesterday’s highlighted key bullish trend line with current support at $1850 is intact on the hourly chart of BCH/USD. The pair might continue to find buyers on the dips near the $2000 and $1900 levels.
More importantly, the 100 hourly simple moving average is at $1820 to act as a major support. Therefore, more gains are possible in BCH as long as the price is above $1800.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is currently reducing its bullish slope.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently well above the 50 level.
Major Support Level – $1900
Major Resistance Level – $2300
Charts courtesy – Trading View, Kraken