- Bitcoin cash price is gaining bullish momentum above the $232 resistance against the US Dollar.
- The price is likely to accelerate higher towards the $258 and $260 resistance levels.
- There was a break above a crucial bearish trend line with resistance near $234 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase).
- The pair could correct a few points, but dips remain well supported near $232 and $230.
Bitcoin cash price is trading in a nice uptrend above $230 against the US Dollar. BCH/USD is likely to continue higher towards the $260 level or $280 barrier in the near term.
Bitcoin Cash Price Analysis
Earlier this week, there was a downside correction in bitcoin cash price below the $230 support against the US Dollar. However, BCH price remained well bid near $218 and $220.
As a result, there was a fresh increase and the price recovered above the $225 and $230 levels. Besides, there was a close above the $230 pivot level and the 55 simple moving average (4-hours).
There was also a break above a crucial bearish trend line with resistance near $234 on the 4-hours chart of the BCH/USD pair. The pair spiked above the 76.4% Fib retracement level of the downward move from the $249 high to $215 low.
It seems like the $245 level is still acting as a resistance. A clear break above the $245 level could push the bitcoin cash price further higher. The next key resistance is near the $258 and $260 levels.
The 1.236 Fib extension level of the downward move from the $249 high to $215 low is also near the $258 level. Any further gains could open the doors for a larger rally towards the $280 level or the 1.618 Fib extension level of the same downward move at $270.
Conversely, there might be a short term downside correction from $245. On the downside, the previous hurdles near the $232 and $230 levels are likely to act as strong supports. Any further losses could lead the price towards the $218 support zone.
Looking at the chart, bitcoin cash price is clearly showing many bullish signs above the $230 level. Though, the bulls need to gain momentum above $245 for a push towards the $258 and $260 levels.
4 hours MACD – The MACD for BCH/USD is currently losing momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for BCH/USD is now well above the 55 level.
Key Support Levels – $230 and $218.
Key Resistance Levels – $245 and $260.