- Bitcoin cash is attempting a recovery wave above the $220 zone against the US Dollar.
- The price is now trading below the $225 zone and the 55 simple moving average (4 hours).
- There is a major bearish trend line forming with resistance near $223 on the 4-hour chart of the BCH/USD pair (data feed from Coinbase).
- The pair must clear $223 and $225 to start a steady upward movement in the near term.
Bitcoin cash price is rising from $215 against the US Dollar, like Bitcoin. BCH/USD could start a fresh surge if it clears the $225 level.
Bitcoin Cash Price Analysis
Bitcoin cash price started a fresh decline from the $230 resistance zone. BCH declined below the $225 support zone. It even spiked below the $220 support zone before the bulls appeared.
A low is formed near $219.39 and the price is now attempting a recovery wave. There was a move above the $222 resistance zone. The price surpassed the 23.6% Fib retracement level of the downward move from the $230.33 swing high to the $219.39 low.
Bitcoin cash is now trading below the $225 zone and the 55 simple moving average (4 hours). There is also a major bearish trend line forming with resistance near $223 on the 4-hour chart of the BCH/USD pair.
On the upside, the price is facing resistance near the $223 level. The next major resistance is near the $225 level or the 50% Fib retracement level of the downward move from the $230.33 swing high to the $219.39 low, above which the price may perhaps rise toward the $230 level.
Any more gains above $230 could set the pace for a move toward the $243 level. If not, the price might decline again. Immediate support on the downside is near the $220 level.
The first major support sits near the $216 level. The next major support is near $212, below which the bears might aim for $205. The next target for them may perhaps be near the $200 level.
Looking at the chart, Bitcoin Cash’s price is now trading below the $225 zone and the 55 simple moving average (4 hours). Overall, the price must clear $223 and $225 to start a steady upward movement in the near term.
Technical indicators
4 hours MACD – The MACD for BCH/USD is losing pace in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for BCH/USD is below the 50 level.
Key Support Levels – $220 and $216.
Key Resistance Levels – $223 and $225.
