Bitcoin Cash Analysis: Fresh Rally Likely If Bulls Clear This Hurdle
Bitcoin cash is eyeing a fresh increase above the $240 resistance against the US Dollar.
The price is now trading above the $230 zone and the 55 simple moving average (4 hours).
There was a break above a key bearish trend line with resistance near $228 on the 4-hour chart of the BCH/USD pair (data feed from Coinbase).
The pair must clear $238 and $242 to start a fresh increase in the near term.
Bitcoin cash price is consolidating gains above $230 against the US Dollar, unlike Bitcoin. BCH/USD could start a fresh surge if it clears the $242 level.
Bitcoin Cash Price Analysis
Bitcoin cash price started a downside correction below the $255 support zone. BCH traded below the $242 and $230 support levels before the bulls appeared.
A low was formed near $212 before the price started a decent recovery wave. There was a move above the $220 and $222 resistance levels. The price climbed above the 23.6% Fib retracement level of the downward move from the $263 swing high to the $212 low.
There was also a break above a key bearish trend line with resistance near $228 on the 4-hour chart of the BCH/USD pair. Bitcoin cash is now trading above the $230 zone and the 55 simple moving average (4 hours).
On the upside, the price is facing resistance near the $238 level. It is close to the 50% Fib retracement level of the downward move from the $263 swing high to the $212 low. The next major resistance is near $242, above which the price may perhaps gain bullish momentum.
The next major resistance is near the $252 level. Any more gains above $252 could set the pace for a move toward the $265 level or even $275. If not, the price might start another decline.
Immediate support on the downside is near the $230 level and the 55 simple moving average (4 hours). The first major support sits near the $224 level. The next major support is near $212, below which the bears might aim for $202.
Looking at the chart, Bitcoin Cash’s price is now trading above the $230 zone and the 55 simple moving average (4 hours). Overall, the price must clear $238 and $242 to start a fresh increase in the near term.
Technical indicators
4 hours MACD – The MACD for BCH/USD is gaining pace in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for BCH/USD is above the 50 level.
Key Support Levels – $230 and $224.
Key Resistance Levels – $238 and $242.
The post Bitcoin Cash Analysis: Fresh Rally Likely If Bulls Clear This Hurdle appeared first on Live Bitcoin News.
Filed under: Bitcoin - @ December 22, 2023 4:18 am