Reason to trust

How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
Key Points
- Bitcoin cash price extended gains above the $550 resistance and traded towards $600 against the US Dollar.
- There was a break above a bullish pennant pattern with resistance at $522 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair traded as high as $592 and it is currently correcting lower towards key supports.
Bitcoin cash price is placed nicely above the $540 support against the US Dollar. BCH/USD remains supported on dips near the $540 and $525 levels.
Bitcoin Cash Price Analysis
There was an increase in buying interest for bitcoin cash price above the $520 level against the US Dollar. The BCH/USD pair completed a downside correction yesterday at $510. Later, the pair gained traction and made a nice upside move above the $525 and $540 levels. The price action was such that buyers gained control above the $540 level and the price gained substantially.
During the rise, there was a break above a bullish pennant pattern with resistance at $522 on the hourly chart of the BCH/USD pair. The pair broke the $580 resistance and traded close to the $600 level. A new weekly high was formed at $592 before the price corrected lower. It moved down below the 23.6% Fib retracement level of the last wave from the $503 low to $592 high. On the downside, there are many supports above the $540 level. An immediate support is at $550. Below this, the 50% Fib retracement level of the last wave from the $503 low to $592 high is at $547.
Looking at the chart, BCH price is trading in an uptrend above the $540 level. On the upside, a break above $590 and $600 could accelerate gains in the near term.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is slightly in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is well above the 50 level.
Major Support Level – $540
Major Resistance Level – $590