Bitcoin Cash Price Technical Analysis – Can BCH/USD Break This?

Key Points

• Bitcoin cash price remains below the $310 level, but currently attempting an upside break against the US Dollar.
• This week’s highlighted major descending channel pattern with current resistance at $302 on the hourly chart of BCH/USD (data feed from Kraken) is currently put to test.
• The price may break above the channel resistance at $302 and continue to move higher.

Bitcoin cash price is slowly recovering from $290 against the US Dollar. BCH/USD has to clear $302-305 levels to gain bullish momentum.

Bitcoin Cash Price Upside Break Near?

This week we followed a declining pattern in Bitcoin cash price towards $280 against the US Dollar. The price traded lower and finally it seems like a support is forming near $290. The price attempted a downside break below $290 on a couple of occasions, but failed. As a result, the price is currently moving higher and challenging a major resistance area.

Currently, this week’s highlighted major descending channel pattern with current resistance at $302 on the hourly chart of BCH/USD is put to test. The channel resistance at $302-303 is also around the 100 hourly simple moving average. Moreover, the 23.6% Fib retracement level of the last decline from the $355.00 high to $290.90 low is also near the channel resistance. If the price manages to settle above the channel resistance at $303 and the 100 hourly SMA, there can be more gains.

The next major stop could be the 50% Fib retracement level of the last decline from the $355.00 high to $290.90 low at $323. On the downside, the $290 support may continue to provide support in the near term.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is moving higher in the bullish zone, but lacks momentum.

Hourly RSI (Relative Strength Index) – The RSI is currently just above the 50 level.

Major Support Level – $290

Major Resistance Level – $303

 

Charts courtesy – Trading View, Kraken

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

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