Bitcoin Cash Is Stuck Below $380 Overhead Resistance, Upward Move Likely
Buyers were able to push BCH above the resistance at $320 and $360. However, the upward move was stalled at the $380 overhead resistance.
This has been the market scenario since December 20. In the previous price action on December 20, the bulls were repelled as the coin plunged to $273 low. In the recent rejection, BCH has fallen to $340 low. The crypto is now consolidating between $340 and $360. On the upside, a strong bounce above $340 low will break the $360 and $380 resistance levels. A break above the $380 resistance will accelerate price movement on the upside.
Bitcoin Cash indicator reading
The crypto has fallen to level 54 of the Relative Strength Index period 14. The coin is in the uptrend zone and above the centerline 50. The price bars are still above the SMAs which suggests the upward movement of the crypto. The coin has a bullish crossover.
Key Resistance Zones: $440, $480, $520
Key Support Zones: $200, $160, $120
What is the next move for Bitcoin Cash?
The crypto is in the bullish trend zone and it is capable of a further upward move. On December 27 uptrend; the retraced candle body tested the 61.8% Fibonacci retracement level. The retracement indicates that BCH is likely to rise to level 1.618 Fibonacci extensions. In other words, BCH will rise to a high of $404.14.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.
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