Recently, there was an upside correction in bitcoin cash above the $200.00 resistance area. BCH to USD is currently consolidating gains and it could attempt more gains above $230.00 and $240.00.
Key Takeaways: BCH/USD
- Bitcoin cash price is showing a few bullish signs above $200.00 against the US Dollar.
- BCH/USD is following a strong bullish trend line with support at $217.10 on the 2-hours chart (data feed from Bitstamp).
- Bitcoin is currently consolidating gains above the $6,500 and $6,560 levels.
Bitcoin Cash Price Analysis
Looking at the 2-hours chart, bitcoin cash price even broke the $210.00 resistance area and settled above the 50 simple moving average (2-hours, purple). It traded as high as $231.11 before starting a downside correction.
There was a break below the $225.00 level and the 23.6% Fib retracement level of the upward move from $197.11 to $231.11. However, the price remained well bid above the $214.00 and $215.00 levels.
More importantly, bitcoin cash price is following a strong bullish trend line with support at $217.10 on the same chart. The 50% Fib retracement level of the upward move from $197.11 to $231.11 is also acting as a support.
It seems like the price is holding the $220.00 area and the 50 simple moving average (2-hours, purple). If there is a downside break below the $220.00 and $217.00 levels, the price is likely to accelerate lower in the near term.
The next major support is seen near the $200.00 area. Conversely, bitcoin cash price could continue to rise and it could attempt an upside break above the $230.00 and $231.00 levels. If there is a clear break above $231.00, the next stop for the bulls could be near the $245.80 level.
Any further gains may perhaps lead BCH price towards the $255.00 and $260.00 levels in the near term. Overall, the current price action is positive and BCH might rise towards $255.00.