Key Points Bitcoin cash price traded above the $1,280 level, but it failed near $1,365 against the US Dollar. There is a short-term connecting bullish trend line forming with support at $1,280 on the hourly chart of BCH/USD (data feed from SimpleFX). On the upside, the pair has to break the $1,365-1,370 resistance to gain bullish momentum.
Bitcoin cash price is trading with a positive bias against the US Dollar. However, BCH/USD is finding it difficult to break an important resistance near $1,365.
Bitcoin Cash Price Upside Hurdle
There was a decent upside move initiated in bitcoin cash price from the $1,190 low against the US Dollar. The price started moving higher and broke the $1,250 and $1,280 resistance levels. More importantly, it also broke the $1,300 resistance and settled above the 100 hourly simple moving average. BCH price even traded above the $1,350 level, but it struggled to move above the $1,365 level. The stated $1,365 level acted as a resistance earlier as well and it currently preventing gains.
At the moment, the price is correcting lower towards $1,300. It has moved below the 23.6% Fib retracement level of the leg from the $1,189 low to $1,365 high. Moreover, there is a short-term connecting bullish trend line forming with support at $1,280 on the hourly chart of BCH/USD. The trend line support is also around the 38.2% Fib retracement level of the leg from the $1,189 low to $1,365 high. Most importantly, the broken resistance at $1,280 may now act as a support.
On the upside, the price has to move above the $1,365 and $1,370 level to gain momentum. Above $1,370, the price could easily move above $1,400.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is currently placed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is moving lower, but it is currently well above the 50 level.
Major Support Level – $1,280
Major Resistance Level – $1,365