HomeAltcoin NewsBitcoin Cash Analysis: $230 Holds The Key But Can Bulls Clear $245?

Bitcoin Cash Analysis: $230 Holds The Key But Can Bulls Clear $245?

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  • Bitcoin cash price is currently facing a strong resistance near the $245 level against the US Dollar.
  • The price is currently correcting lower and approaching the $230 support zone.
  • There is a major bullish trend line forming with support near $230 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase).
  • The pair must stay above the $230 support to make another attempt to clear the $245 resistance.

Bitcoin cash price is correcting gains from the $245 hurdle against the US Dollar. BCH/USD is likely to bounce back as long as it is above the $230 support zone.

Bitcoin Cash Price Analysis

Earlier this week, bitcoin cash price started a fresh increase above the $225 and $230 resistance levels against the US Dollar. BCH price even settled above the $230 level and the 55 simple moving average (4-hours).

Finally, the price spiked above the $240 level and it is currently facing a strong resistance near the $245 level. A high is formed near the $245 level and the price is currently correcting lower.

There was a break below the $240 level, plus the 23.6% Fib retracement level of the recent increase from the $215 swing low to $245 high. The price is now trading below the $236 level and it is approaching the main $230 support zone.

There is a major bullish trend line forming with support near $230 on the 4-hours chart of the BCH/USD pair. The trend line is close to the 50% Fib retracement level of the recent increase from the $215 swing low to $245 high.

More importantly, the 55 simple moving average (4-hours) is also near the trend line support at $230. If bitcoin cash price fails to stay above the trend line support and $230, there is a risk of a nasty decline in the coming sessions.

Conversely, the price might bounce back above the $240 and $242 levels. The main resistance is near the $245 level. A successful close above the $245 level might trigger a sharp rally towards $255 and $260.

Bitcoin Cash Price
Bitcoin Cash Price

Looking at the chart, bitcoin cash price is correcting lower from the $245 barrier. It must stay above the $230 support to make another attempt to clear the $245 resistance.

Technical indicators

4 hours MACD – The MACD for BCH/USD is currently gaining momentum in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI for BCH/USD is now below the 50 level.

Key Support Levels – $230 and $215.

Key Resistance Levels – $240 and $245.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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