- Bitcoin cash price started an upside correction from the $600 zone against the US Dollar.
- The price is now trading near the $650 zone and the 55 simple moving average (4-hours).
- There was a break above a key bearish trend line with resistance near $640 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase).
- The pair could continue to rise if it clears the $650 and $660 resistance levels.
Bitcoin cash price is eyeing recovery above $660 against the US Dollar, similar to bitcoin. BCH/USD could resume its decline if it fails to clear $660.
Bitcoin Cash Price Analysis
Bitcoin cash price started a major decline from well above $720. BCH broke the $700 support level and the 55 simple moving average (4-hours) to move into a bearish zone.
It even traded below $650 and spiked below $600. A low was formed near $584 before the price started an upside correction. There was a break above the 23.6% Fib retracement level of the downward move from the $805 swing high to $582 low.
There was also a break above a key bearish trend line with resistance near $640 on the 4-hours chart of the BCH/USD pair. The pair is now trading near the $650 zone and the 55 simple moving average (4-hours).
It is now facing a strong resistance near the $650 zone. The next major resistance could be $660. The main breakout zone is near the $700 level. It is close to the 50% Fib retracement level of the downward move from the $805 swing high to $582 low.
A clear break above $660 and $700 might trigger a sharp upward move. On the downside, an initial support is near the $625 level. A downside break below the $625 support zone could open the doors for a fresh decline. The next major support is near the $600 level, below which the bears might aim a test of $550.
Looking at the chart, bitcoin cash price is now trading near the $650 zone and the 55 simple moving average (4-hours). Overall, the price could continue to rise if it clears the $650 and $660 resistance levels.
Technical indicators
4 hours MACD – The MACD for BCH/USD is now gaining pace in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for BCH/USD is above the 50 level.
Key Support Levels – $625 and $600.
Key Resistance Levels – $660 and $700.
