Bitcoin Cash price started a downside correction and tested $250 against the US Dollar. BCH is rising and might gain pace if it clears the $300 resistance.
- Bitcoin cash price is moving higher from the $250 support level against the US Dollar.
- The price is trading above $265 and the 100 simple moving average (4 hours).
- There was a break above a key bearish trend line with resistance near $270 on the 4-hour chart of the BCH/USD pair (data feed from Kraken).
- The pair is likely to accelerate further higher if it clears $290 and $300.
Bitcoin Cash Price Holds Ground
After a strong rally, Bitcoin Cash price faced sellers near the $335 zone. BCH traded as high as $333 and started a downside correction. There was a move below the $300 pivot level.
The price even declined below $265 before the bulls appeared near $250. A low is formed near $248 and the price is now slowly moving higher. There was a break above a key bearish trend line with resistance near $270 on the 4-hour chart of the BCH/USD pair.
Bitcoin Cash is trading above $265 and the 100 simple moving average (4 hours) and showing positive signs, unlike Bitcoin and Ethereum. Immediate resistance is near the $290 level. It is close to the 50% Fib retracement level of the downward move from the $333 high to the $248 low.
Source: BCH/USD on TradingView.com
The next major resistance is near $300 or the 61.8% Fib retracement level of the downward move from the $333 high to the $248 low. Any further gains could lead the price toward the $330 and $335 resistance levels in the near term. The next major hurdle is near the $350 level.
Dips Supported in BCH?
If Bitcoin Cash price fails to clear the $300 resistance, it could start a fresh decline. Initial support on the downside is near the $268 level or the 100 simple moving average (4 hours).
The next major support is near the $250 level, where the bulls are likely to appear. If the price fails to stay above the $250 support, the price could test the $225 support. Any further losses could lead the price toward the $200 handle in the near term.
Technical indicators
4-hour MACD – The MACD for BCH/USD is losing pace in the bullish zone.
4-hour RSI (Relative Strength Index) – The RSI is currently above the 50 level.
Key Support Levels – $268 and $250.
Key Resistance Levels – $290 and $300.