- Bitcoin cash price is trading in a range, but remains supported above the $580 level against the US Dollar.
- There is a connecting bearish trend line forming with resistance at $620 on the hourly chart of BCH/USD (data feed from Kraken).
- The price might correct a few times toward $580-560, but it is likely to find support on the downside.
Bitcoin cash price is holding the $580 support against the US Dollar. BCH/USD needs to break the $630-640 levels to gain upside momentum in the near term.
Bitcoin Cash Price Support
It seems like Bitcoin cash price is correcting lower with a bearish angle below $650 against the US Dollar. However, there are three important supports on the downside – $600, $580 and $560. As long as the price is above these levels, it remains supported for more gains above $650. Recently, the price tested the $560 support zone and recovered toward the $640 level.
However, the upside move was protected by a connecting bearish trend line with current resistance at $620 on the hourly chart of BCH/USD. The pair moved down and traded below the 50% Fib retracement level of the last wave from the $560 low to $644 high. The downside move is currently finding support near $580. Moreover, the 61.8% Fib retracement level of the last wave from the $560 low to $644 high also acted as a support.
On the upside, BCH needs to go through the trend line resistance at $620. Then, it has to settle above $640 for more upsides in the near term. With the current trend, there are chances of it testing $700 if the $560 support remains intact.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is about move back in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is moving higher towards the 50 level.
Major Support Level – $580
Major Resistance Level – $620
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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