Analysis

Bitcoin Cash Price Analysis: BCH/USD Consolidating Near Key Support

Key Points

  • Bitcoin cash price traded as high as $ 637 and later corrected lower against the US Dollar.
  • There was a break below a key bullish trend line with support at $ 605 on the hourly chart of the BCH/USD pair (data feed from Kraken).
  • The pair is currently trading near a major support at $ 575 and the 100 hourly simple moving average.

Bitcoin cash price started a downside correction from the $ 640 swing high against the US Dollar. BCH/USD is currently consolidating near $ 575 and it could bounce back.

Bitcoin Cash Price Analysis

Yesterday, there were extended gains above the $ 600 resistance in bitcoin cash price against the US Dollar. The BCH/USD pair traded above the $ 620 resistance and settled above the 100 hourly simple moving average. The price traded as high as $ 637 before sellers appeared. As a result, there was a downside correction and the price moved below the $ 600 level.

During the decline, the price broke the 50% Fib retracement level of the last leg from the $ 534 low to $ 637 high. Moreover, there was a break below a key bullish trend line with support at $ 605 on the hourly chart of the BCH/USD pair. The pair extended losses and it is currently trading near a major support at $ 575 and the 100 hourly simple moving average. Besides, the 61.8% Fib retracement level of the last leg from the $ 534 low to $ 637 high is also near $ 575. Therefore, the price is likely to bounce back towards $ 600 and $ 620.

Bitcoin Cash Price Analysis BCH Chart

Looking at the chart, BCH price showing positive signs above the $ 575 support. There could be a fresh bearish move, but the price is likely to stay above the $ 540-550 zone. On the upside, a break above the $ 620 resistance may push the price above $ 650.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is back in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is well below the 50 level.

Major Support Level – $ 575

Major Resistance Level – $ 600

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Analysis – NewsBTC

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