38 C
Dubai
Sunday, May 26, 2024
HomeAltcoin NewsBitcoin Cash Analysis: BCH Holding Uptrend Support, Fresh Increase Possible

Bitcoin Cash Analysis: BCH Holding Uptrend Support, Fresh Increase Possible

Date:

Related stories

  • Bitcoin cash price rallied above the $455 resistance before correcting lower against the US Dollar.
  • The price traded towards the $482 level before starting a downside correction.
  • There is a major ascending channel forming with support at $410 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).
  • The pair remains well supported on the downside and it could bounce back above $430 and $440.

Bitcoin cash price declined sharply from the $480-482 area against the US Dollar. BCH is currently holding an important support and the price is likely to bounce back above $440.

Bitcoin Cash Price Analysis

This week, bitcoin cash price remained in a positive zone and traded above the $440 and $450 levels against the US Dollar. The BCH/USD pair even rallied above the $460 level and settled above the 55 simple moving average (4-hours). Finally, there was a push above the $470 level and the price traded to a new monthly high at $482. Later, the bulls struggled, resulting in a sharp downside correction. The price declined heavily and broke the $470 and $465 support levels.

There was a break below the 23.6% Fib retracement level of the last wave from the $339 swing low to $482 high. Besides, there was a spike below the $420 level and the 55 simple moving average (4-hours). However, the 50% Fib retracement level of the last wave from the $339 swing low to $482 high acted as a strong support. There is also a crucial ascending channel forming with support at $410 on the 4-hours chart of the BCH/USD pair. Therefore, it won’t be easy for sellers to clear the $410 and $400 support levels. If there is a downside break, the price might test the $375 support area.

On the upside, there are many resistances near the $430 and $440 levels. If there is a fresh increase above $440, the price could continue higher towards the $450 and $460 levels. The next major hurdle for the bulls could be $480.

Bitcoin Cash Price Analysis BCH Chart

Looking at the chart, bitcoin cash price is clearly holding an important support are near the $410 level. As long as there is no close below $410 and $400, the price remains in an uptrend. In the short term, there could be range moves above $400 before the price starts an upward move. On the upside, the key targets could be $440 and $450.

Technical indicators

4 hours MACD – The MACD for BCH/USD is slowly reducing its bearish slope.

4 hours RSI (Relative Strength Index) – The RSI for BCH/USD declined sharply below the 50 level and it is currently flat near 40.

Key Support Levels – $410 and $400.

Key Resistance Levels – $440 and $450.

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.

Subscribe

Latest stories