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Key Points
- Bitcoin cash price rallied recently and jumped above the $100 and $125 resistances against the US Dollar.
- There was a break above a crucial bearish trend line with resistance at $90 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).
- The pair gained more than 80% in the past few days and tested the $145-150 resistance.
Bitcoin cash price found support near $70 after a massive drop against the US Dollar. BCH recovered sharply and jumped above the $125 resistance level.
Bitcoin Cash Price Analysis
Earlier this month, we saw a massive drop in bitcoin cash price below $150 and $100 supports against the US Dollar. The BCH/USD pair even broke the $90 and $80 support levels. It traded to a new monthly low at $72 before buyers took a stand. During the past few days, there was a sharp upward move and the price recovered above the $80, $95 and $100 resistance levels.
It even broke the $125 resistance and the 23.6% Fib retracement level of the last decline from the $199 high to $72 low. More importantly, there was a break above a crucial bearish trend line with resistance at $90 on the 4-hours chart of the BCH/USD pair. The pair settled above the $125 level and the 55 simple moving average (4-hours). Currently, the 50% Fib retracement level of the last decline from the $199 high to $72 low is acting as a resistance. Besides, the $145-150 zone is a crucial barrier (the previous support) for buyers.
Looking at the chart, bitcoin cash price clearly recovered nicely above $100 and $110. To continue higher, it must surpass the $150 resistance. The key supports on the downside are visible at $120 and $108.
Looking at the technical indicators:
4-hours MACD – The MACD for BCH/USD is placed heavily in the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI for BCH/USD is currently well above the 60 level.
Key Support Level – $120
Key Resistance Level – $150