chepicap.com
Bitcoin Cash is one of the highest gaining coins this year being up 300% since its 2019 low, and it seems to want to continue this steady rise. While its busy retracing we will look for possible support zones that can provide entries for the run to come. This is the Bitcoin Cash BCH Price Analysis for June 5.
Highlights:
- On its way to support near $330
- $550 first target
- Possible 95% gains to be made
Diving right into a 4 hour chart we are able to see that the impulse wave has finished, with price trading below the trend line. This means that we are currently interested in finding out where BCH can retrace to, before continuing with its run.
Selecting our Fib tool and then measuring the wave form the low to the high, plots out our interest zones for this retracement. In a bull market it is prefered to enter a coin when it has retraced between 50% and 61% of an impulse wave.
At the moment Bitcoin Cash is making its way to the 50% line around $360, which will be our first support level. Below that we have our main support line of $330. Together these two prices gives us an entry box, which we can then use to spread out some buy orders to get a good average entry price between $360 and $330.
Since we already have an impulse wave, we are also able to measure it to find possible future expansion levels. Flipping our Fib tool over now and measuring form the high to the low, plots out our expansion interest levels. As mentioned in our TRX analysis, we have noticed that most coins only expand to the 127% level, before starting to move down again.
Assuming the same will happen to BCH, puts our main target at around $550. The next extension level, the 161%, is way up at $640. Reaching this high means that BCH would provide gains of 95%, but how far up we will expand depends on where BCH retraces to and find support.
While Bitcoin Cash makes it way to support, there are many coins showing potential for great gains. Are you currenly focusing on altcoins, are are you waiting for BTC to first end this dip? Let us know what you think in the comments below!
Disclaimer: Keep in mind this not investment or trading advice, just the opinion of our analysts. As always, do your own research, make your own decisions.