Key Points
- Bitcoin cash price traded higher recently and moved above the $515 resistance against the US Dollar.
- There was a break above a crucial bearish trend line with resistance at $512 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair is now placed in a positive zone and it could continue to move higher towards $530 and $540.
Bitcoin cash price is slowly moving higher against the US Dollar. BCH/USD is likely to continue higher once buyers gain momentum above the $525 level.
Bitcoin Cash Price Analysis
This past week, there was a significant downside move below the $550 support in bitcoin cash price against the US Dollar. The BCH/USD pair traded below the $540 and $520 support levels. There was even a spike below the $500 level and a low was formed at $498. Later, buyers appeared and pushed the price back above the $500 level. Later, the price gained momentum and moved above the $510 and $515 resistance levels.
There was also a break above the 61.8% Fib retracement level of the last decline from the $523 high to $498 low. More importantly, there was a break above a crucial bearish trend line with resistance at $512 on the hourly chart of the BCH/USD pair. The pair is now trading nicely above the $510 level and the 100 hourly simple moving average. It traded close to the $525 resistance and is currently consolidating. On the upside, the next resistance is near $530 and the 1.236 Fib extension level of the last decline from the $523 high to $498 low. Above $530, the price could trade towards the $540 level, which is near the 1.618 Fib extension.
Looking at the chart, BCH price is now placed nicely in a positive zone above $510 and it could test $530 and $540 in the near term.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is back in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is well above the 50 level.
Major Support Level – $510
Major Resistance Level – $530