Bitcoin Cash Price (BCH) Could Struggle To Recover Past $200
After a massive decline, bitcoin cash found support near the $140.00 level. BCH to USD is currently correcting higher and it is likely to face a strong resistance near the $200.00 and $205.00 levels.
Key Takeaways: BCH/USD
- Bitcoin cash price is showing a few positive recovery signs above $165.00 against the US Dollar.
- BCH/USD is likely to test the $200.00 resistance and a major bearish trend line on the 2-hours chart (data feed from Bitstamp).
- Bitcoin is up more than 10% and it is rising steadily towards the $5,800 resistance area.
Bitcoin Cash Price Analysis
Looking at the 2-hours chart, bitcoin cash price even broke the $150.00 support and settled below the 50 simple moving average (2-hours, purple). A new 2020 low is formed near the $140.57 and the price is currently correcting higher.
There was a break above the $165.00 resistance level. Besides, the price traded above the 23.6% Fib retracement level of the key decline from $270.69 to $140.57.
The upward move is gathering pace above the $190.00 level and the 50 simple moving average (2-hours, purple). It seems like bitcoin cash price is likely to test the $200.00 resistance and a major bearish trend line on the same chart.
The 50% Fib retracement level of the key decline from $270.69 to $140.57 is also near the $205.60 level to act as a strong resistance zone. A clear break above the $200.00 and $205.00 resistance levels is needed for the bulls to gain pace.
The next major resistance is near the $220.00 level, above which the price could accelerate towards the $240.00 level in the near term.
Conversely, bitcoin cash price could fail to clear the $200.00 and $205.00 resistance levels. In the mentioned case, it could slide back below the $190.00 and $180.00 levels. The main support is near the $165.00 level, below which BCH might revisit the $140.00 zone.