BUY BITCOIN
Key Points
- Bitcoin cash price is trading nicely above the $1,040 support level against the US Dollar.
- There was a break above a key declining channel with resistance at $960 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair is currently trading in a positive zone above $1,040 and the 100 hourly simple moving average.
Bitcoin cash price is stable and well above $1,000 against the US Dollar. BCH/USD has to clear the $1,100 resistance area to gain upside momentum.
Bitcoin Cash Price Resistance
There was a minor downside correction initiated from the $1,080 swing high in bitcoin cash price against the US Dollar. The price traded a few points lower, but the downside move was supported above the $1,000 level. Later, it started moving higher once again and succeeded in settling above the $1,040 level and the 100 hourly simple moving average.
During the recent upside, there was a break above a key declining channel with resistance at $960 on the hourly chart of the BCH/USD pair. The pair traded as high as $1,087 before a minor downside reaction. It tested the 23.6% Fib retracement level of the last wave from the $844 low to $1,087 high. However, the downside was limited and the price is now back above $1,050 and 100 hourly SMA. On the upside, the pair is facing a couple of important hurdles near the $1,100 and $1,140 levels.
A break above the $1,100 level may call for a test of $1,140. Above $1,140, the price will most likely challenge the $1,200 level. On the downside, below $1,040, there could be a test of the 50% Fib retracement level of the last wave from the $844 low to $1,087 high at $965.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is slightly placed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is moving higher towards the 60 level.
Major Support Level – $1,040
Major Resistance Level – $1,110
Charts courtesy – Trading View
