Key Points
- Bitcoin cash price surged higher and broke a major resistance near $850 against the US Dollar.
- Yesterday’s highlighted key bullish trend line is intact with support near $810 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair is likely to accelerate gains above the $875 level and it could test $900 in the near term.
Bitcoin cash price rocketed higher and broke the $850 barrier against the US Dollar. BCH/USD remains in a major uptrend and it could test $900.
Bitcoin Cash Price Uptrend
Yesterday, we saw a sharp rally above the $800 level in bitcoin cash price against the US Dollar. Later, the BCH/USD pair corrected lower and tested the $780 support area, which acted as a buy zone. As a result, there was a fresh upward move and the price broke the $810 and $850 resistance levels. The upside move was strong as the price traded towards the $875 level and formed a high at $876.
At the moment, the price is consolidating gains below $875. An initial support is near the 23.6% Fib retracement level of the last wave from the $780 low to $876 high. More importantly, yesterday’s highlighted key bullish trend line is intact with support near $810 on the hourly chart of the BCH/USD pair. The trend line support and $800 holds a lot of significance since they were resistance zones earlier. Moreover, the 50% Fib retracement level of the last wave from the $780 low to $876 high is positioned near the $829 level to prevent declines.
Looking at the chart, the price placed in a solid uptrend and it seems like it could break the $876 high. Above this, there are high chances of it moving towards the $900 level.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is currently reducing its bullish slope.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is placed in the overbought zone.
Major Support Level – $829
Major Resistance Level – $876
