Key Points
- Bitcoin cash price completed a downside correction and recovered above $1,400 against the US Dollar.
- There is a rising channel forming with support near the $1,380 level on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair may perhaps continue to rise further as long as above $1,350 and the 100 hourly simple moving average.
Bitcoin cash price is slowly moving higher towards $1,500 against the US Dollar. BCH/USD is likely to accelerate further with support near $1,400 and $1,380.
Bitcoin Cash Price Trend
There was a slow and steady rise from the $1,320 swing low in bitcoin cash price against the US Dollar. The price started an upside move and traded above the $1,400 resistance level. It also settled above the 50% Fib retracement level of the last drop from the $1,578 high to $1,237 low. It is a positive sign and suggests that the price may continue to rise towards $1,500 and $1,525.
More importantly, the price is placed nicely above the $1,350 pivot level and the 100 hourly simple moving average. There is also a rising channel forming with support near the $1,380 level on the hourly chart of the BCH/USD pair. The channel trend line is positioned with the 100 hourly SMA, which is a positive sign above $1,350. Therefore, the pair remains well supported on the downside near $1,350 and $1,380. As long as the price is above $1,350, it may continue to move higher.
Looking at the chart, the price has to break the 76.4% Fib retracement level of the last drop from the $1,578 high to $1,237 low. A successful break and close above $1,500 could open the doors for more gains towards $1,525.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is slowly moving in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently well above the 50 level.
Major Support Level – $1,350
Major Resistance Level – $1,500