Bitcoin Cash Analysis: Bulls Continue To Protect Key Support

• Bitcoin cash is eyeing a fresh increase above the $650 resistance against the US Dollar.
• The price is now trading below the $640 zone and the 55 simple moving average (4 hours).
• There is a key contracting triangle forming with resistance at $655 on the 4-hour chart of the BCH/USD pair (data feed from Coinbase).
• The pair must clear $650 and $655 to start a fresh increase in the near term.

Bitcoin cash price is consolidating gains above $600 against the US Dollar, unlike Bitcoin. BCH/USD could start a fresh surge if it clears the $655 level.

Bitcoin Cash Price Analysis

Bitcoin cash price started a pullback from the $720 zone. BCH traded below the $700 and $650 support levels to enter a short-term bearish zone.

A low was formed near $596 before the price found support. The price is now consolidating losses and attempting a fresh increase. There was a move above the $605 level, but the price is still below the 23.6% Fib retracement level of the downward move from the $719 swing high to the $596 low.

Bitcoin cash is now trading below the $650 zone and the 55 simple moving average (4 hours). On the upside, the price is facing resistance near the $625 level.

The first key resistance is near $650 or the 50% Fib retracement level of the downward move from the $719 swing high to the $596 low. There is also a key contracting triangle forming with resistance at $655 on the 4-hour chart of the BCH/USD pair.

The next major resistance is near $670, above which the price may perhaps gain bullish momentum. The next major resistance is near the $700 level. Any more gains above $700 could set the pace for a move toward the $720 level or even $750.

If not, the price might start another decline. Immediate support on the downside is near the $600 level. The first major support sits near the $565 level. The next major support is near $500 below which the bears might aim for $450.

Looking at the chart, Bitcoin Cash’s price is now trading below the $650 zone and the 55 simple moving average (4 hours). Overall, the price must clear $650 and $655 to start a fresh increase in the near term.

Technical indicators

4 hours MACD – The MACD for BCH/USD is losing pace in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI for BCH/USD is below the 50 level.

Key Support Levels – $600 and $565.

Key Resistance Levels – $625 and $650.

The post Bitcoin Cash Analysis: Bulls Continue To Protect Key Support appeared first on Live .