Bitcoin cash price climbed higher and was able to move above the $1500 resistance against the US Dollar.
There is a new connecting bullish trend line forming with support at $1600 on the hourly chart of BCH/USD (data feed from Kraken).
The price is currently well supported on the downside near $1600 and $1500.
Bitcoin cash price managed to pop higher above $1500 against the US Dollar. BCH/USD is currently correcting lower, but remains supported.
Bitcoin Cash Price Trend
There were solid gains in bitcoin cash price as it moved above the $1500 resistance against the US Dollar. The upside move was strong and the price was even able to move above the $1600 and $1700 levels. A new intraday high was formed at $1746 from where a minor correction was initiated. The price has moved below the 23.6% Fib retracement level of the last wave from the $1460 low to $1746 high. However, there are many supports on the downside such as $1600 and $1580.
The best one is a new connecting bullish trend line forming with support at $1600 on the hourly chart of BCH/USD. The trend line support is positioned around the 50% Fib retracement level of the last wave from the $1460 low to $1746 high. Therefore, the $1600 support is likely to act as a strong buy zone and a barrier for sellers. Only a close below $1580 would call for a test of the previous resistance (now support) at $1500.
On the upside, the price might retest the recent swing high of $1746. If buyers remain in action, there is even a chance of BCH testing the $1800 level in the near term.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is placed well in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently correcting lower.
Major Support Level – $1600
Major Resistance Level – $1745
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.