Bitcoin Cash Price (BCH) Recovery Won’t Be Easy
After another decline, bitcoin cash price found support near the $204.00 area. BCH to USD is now approaching a major resistance and it could attempt an upside break above $216.40 and $222.00.
Key Takeaways: BCH/USD
- Bitcoin cash price is slowly rising above $210.00 against the US Dollar, but there are many hurdles.
- BCH/USD is approaching a major resistance near $216.40 and a bearish trend line on the 2-hours chart (data feed from Bitstamp).
- Bitcoin is up around 3% and it seems to be heading towards the $7,500 and $7,560 levels.
Bitcoin Cash Price Analysis
Recently, bitcoin cash price declined below the $210.00 support area and tested the $204.00 area. BCH price traded to a new monthly low at $203.05 and started a fresh increase.
Looking at the 2-hours chart, bitcoin cash spiked above the $210.00 and $212.00 resistance levels. Besides, there was a break above the $216.30 resistance and the 50 simple moving average (2-hours, purple).
However, the price failed to surpass the $220.00 resistance. A high was formed near $220.78 before the price revisited the $205.50 area. The recent low was $205.74 and the price is now trading above $210.00.
Moreover, the price is trading above the $212.00 level and the 50 simple moving average (2-hours, purple). However, it is struggling near the 50% Fib retracement level of the recent decline from $220.78 to $205.74.
It seems like the price is approaching a major resistance near $216.40 and a bearish trend line on the 2-hours chart. Above the trend line, the next key resistance is near the $216.30 level.
An intermediate resistance is near the 61.8% Fib retracement level of the recent decline from $220.78 to $205.74. Therefore, the price must climb back above $216.30 to start a decent increase. The next major resistance is near the $222.00 area.
Conversely, bitcoin cash price could fail to continue above the $215.00 and $216.20 resistance levels. In the mentioned case, the price is likely to decline towards $204.00. The main support is $200.00, below which the price could dive towards the $182.00 level.