Key Points
- Bitcoin cash price surged higher and broke an important resistance at $350 against the US Dollar.
- This week’s highlighted contracting triangle pattern with resistance at $320 was broken on the hourly chart of BCH/USD (data feed from Kraken).
- The price is now placed well above the $350 level and eying more gains in the near term.
Bitcoin cash price rocketed higher above $350 against the US Dollar. BCH/USD is now in the bullish zone above $340 and looking for more gains.
Bitcoin Cash Price Trend
Finally, there was a break in Bitcoin cash price above the $325 level against the US Dollar. The price managed to gain strength after forming a bottom near the $300 handle. The best part was a break above this week’s highlighted contracting triangle pattern with resistance at $320 on the hourly chart of BCH/USD. It opened the doors for more gains and the pair even broke the 61.8% Fib retracement level of the last decline from the $335 high to $302 low.
The pair even succeeded in clearing a monster resistance at $350. It cleared the path for more gains and the price traded as high as $400. Later, a correction wave was initiated and the price moved below the 23.6% Fib retracement level of the last wave from the $308 low to $400 high. The downside was extended, but was limited by the 50% Fib retracement level of the last wave from the $308 low to $400 high.
The pair is now back above $360 and eyeing more gains. There is a chance of BCH retesting the $400 handle if buyers remain in control. Buying dips close to the $350-340 levels can be considered with a tight stop.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is showing positive signs.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is correcting the overbought levels.
Major Support Level – $350
Major Resistance Level – $400
Charts courtesy – Trading View, Kraken
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