- Bitcoin cash price gained pace and was able to clear $500 against the US Dollar.
- The price is trading nicely above the $520 level and the 55 simple moving average (4-hours).
- There is a key ascending channel forming with support near $500 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase).
- The pair is likely to clear the $550 resistance and continue higher towards $600 in the near term.
Bitcoin cash price is gaining momentum above $520 against the US Dollar, similar to bitcoin. BCH/USD is likely to aim a test of the $600 zone as long as it is above $500.
Bitcoin Cash Price Analysis
After forming a support base above $450, bitcoin cash price started a fresh increase. BCH price broke the $485 and $500 resistance levels to move into a positive zone.
The price was able to surpass the $520 resistance and it settled above the 55 simple moving average (4-hours). A high is formed near $548 and the price is currently consolidating gains. It is likely to test the 23.6% Fib retracement level of the recent increase from the $468 swing low to $548 high.
There is also a key ascending channel forming with support near $500 on the 4-hours chart of the BCH/USD pair. The channel support is close to the 50% Fib retracement level of the recent increase from the $468 swing low to $548 high.
If there is a downside break below the channel support, there are chances of more losses towards the $480 and $475 levels. On the upside, the price is facing a strong resistance near the $550 level.
A clear break above the $548 and $550 levels is must for more gains in the near term. The next major resistance is near the $600 level, above which BCH could test $625. Any more upsides might call for a test of $650.
Looking at the chart, bitcoin cash price is clearly trading nicely above the $520 level and the 55 simple moving average (4-hours). Overall, the price is likely to clear the $550 resistance and continue higher towards $600 in the near term.
Technical indicators
4 hours MACD – The MACD for BCH/USD is gaining pace in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for BCH/USD is currently well above the 50 level.
Key Support Levels – $520 and $500.
Key Resistance Levels – $550 and $600.
