Bitcoin Cash price is holding the key 0 support against the US Dollar. BCH seems to be aiming for a fresh increase toward the 5 and 0 levels.
- Bitcoin cash price is showing positive signs above the 0 level against the US Dollar.
- The price is trading below 0 and the 100 simple moving average (4 hours).
- There was a break above a major bearish trend line with resistance near 9 on the 4-hour chart of the BCH/USD pair (data feed from Kraken).
- The pair is likely to accelerate higher if it clears 7 and 0.
Bitcoin Cash Price Aims Higher
In the past few days, Bitcoin Cash price saw a steady decline below 5. BCH even traded below the 5 level, but the downsides were limited compared to Bitcoin and Ethereum.
The price remained well-bid near the key 0 support. A low has formed near 0 and the price is now attempting a fresh increase. It broke the 5 level. There was a break above a major bearish trend line with resistance near 9 on the 4-hour chart of the BCH/USD pair.
The price is now testing the 23.6% Fib retracement level of the downward move from the 8 swing high to the 0 low. However, Bitcoin Cash is now trading below 0 and the 100 simple moving average (4 hours).
Immediate resistance is near the 7 level and the 100 simple moving average (4 hours). The next major resistance is near 5 or the 50% Fib retracement level of the downward move from the 8 swing high to the 0 low.
Source: BCH/USD on TradingView.com
Any further gains could lead the price toward the 0 and 5 resistance levels in the near term. The next major hurdle is near the 0 level.
Dips Supported in BCH?
If Bitcoin Cash price fails to clear the 5 resistance, it could start a fresh decline. Initial support on the downside is near the 5 level.
The next major support is near the 0 level, where the bulls are likely to appear. If the price fails to stay above the 0 support, the price could test the 8 support. Any further losses could lead the price toward the 0 zone in the near term.
Technical indicators
4-hour MACD – The MACD for BCH/USD is gaining pace in the bullish zone.
4-hour RSI (Relative Strength Index) – The RSI is currently above the 50 level.
Key Support Levels – 5 and 0.
Key Resistance Levels – 7 and 5.