Bitcoin Cash Analysis: Fresh Rally Likely If Bulls Clear $250
Bitcoin cash is eyeing a fresh increase above the $250 resistance against the US Dollar.
The price is now trading above the $240 zone and the 55 simple moving average (4 hours).
There was a break above a key bearish trend line with resistance near $240 on the 4-hour chart of the BCH/USD pair (data feed from Coinbase).
The pair must clear $250 and $258 to start a fresh increase in the near term.
Bitcoin cash price is consolidating gains above $240 against the US Dollar, unlike Bitcoin. BCH/USD could start a fresh surge if it clears the $250 level.
Bitcoin Cash Price Analysis
Bitcoin cash price started a major decline below the $260 support zone. BCH traded below the $240 and $230 support levels before the bulls appeared.
A low was formed near $218 before the price started a decent recovery wave. There was a move above the $230 and $232 resistance levels. The price climbed above the 23.6% Fib retracement level of the downward move from the $298 swing high to the $218 low.
There was also a break above a key bearish trend line with resistance near $240 on the 4-hour chart of the BCH/USD pair. Bitcoin cash is now trading above the $240 zone and the 55 simple moving average (4 hours).
On the upside, the price is facing resistance near the $250 level. The first key resistance is near $258. It is close to the 50% Fib retracement level of the downward move from the $298 swing high to the $218 low. The next major resistance is near $268, above which the price may perhaps gain bullish momentum.
The next major resistance is near the $280 level. Any more gains above $280 could set the pace for a move toward the $295 level or even $300. If not, the price might start another decline.
Immediate support on the downside is near the $238 level and the 55 simple moving average (4 hours). The first major support sits near the $232 level. The next major support is near $225, below which the bears might aim for $218.
Looking at the chart, Bitcoin Cash’s price is now trading above the $240 zone and the 55 simple moving average (4 hours). Overall, the price must clear $250 and $258 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 – $240 and $232.
Key Resistance Levels – $250 and $258.
The post Bitcoin Cash Analysis: Fresh Rally Likely If Bulls Clear $250 appeared first on Live Bitcoin News.
Filed under: Bitcoin - @ February 9, 2024 3:08 am