BUY BITCOIN
Key Points
- Bitcoin cash price gained traction and it was successful in clearing the $800 and $850 resistances against the US Dollar.
- There was a break above a minor bearish trend line with resistance at $780 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair surged higher and traded close to the $900 resistance area recently.
Bitcoin cash price is gaining upside momentum above $850 against the US Dollar. BCH/USD could soon break the $900 level to extend gains in the near term.
Bitcoin Cash Price Trend
The past few sessions were positive as bitcoin cash price formed a key bottom below the $750 level against the US Dollar. The price started a nice upside move and cleared many hurdles on the way up such as $800 and $850. The upside move was very strong as the price traded close to the $900 level. At the moment, the price is trading well above the $850 support and the 100 hourly simple moving average.
During the upside move, there was a break above a minor bearish trend line with resistance at $780 on the hourly chart of the BCH/USD pair. The trend line break was the main reason the recent upside surge above $850. It traded as high as $903 and is currently consolidating gains. An initial support is near the 23.6% Fib retracement level of the last wave from the $726 low to $903 high. It seems like downsides would be limited in the short term since there are many supports at $860 and $850.
Looking at the chart, there is a strong bullish trend in place above $800-820. A successful close above the $900 level could ignite further gains toward the $940 and $950 levels.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is showing signs of a minor correction.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is near the overbought levels.
Major Support Level – $850
Major Resistance Level – $900
