Bitcoin Cash Holds The Trendline And Is Climbing Towards Resistance

Bitcoin Cash BCH/USD is a cryptocurrency variant of Bitcoin BTC/USD that was created to find a way to make transactions smoother. The main difference between Bitcoin and Bitcoin Cash is that the block sizes were changed. Bitcoin Cash as per the company website is a “peer to peer electronic cash” system.

Bitcoin Cash was up 2.10% at $705.80 at last check. Below is a technical analysis of Bitcoin Cash’s chart.

See Also: How To Buy Bitcoin Cash

Bitcoin Cash Daily Chart Analysis:

• The crypto has been uptrending throughout the past few months and the chart shows a few key resistance levels.
• The crypto is trading below the 50-day moving average (green), but above the 200-day moving average (blue). This indicates the crypto is likely facing a period of consolidation.
• The 50-day moving average is somewhere the crypto may find resistance, while the 200-day moving average is somewhere where support may be found.

Key Levels To Watch:

• Bitcoin Cash has been building higher lows throughout the past few months, a sign bulls have been in control.
• The $800 level was an area of resistance that turned into support. Support was broken and now this area may act as resistance once again.
• Past the $800 level, there may not be a strong area of resistance until the price reaches $1200 as this was an area that previously was resistance.

What’s Next?

Bullish technical traders would like to see the crypto continue to build higher lows along the trendline. Eventually, traders would like to see a break above the resistance levels. A break above resistance could see a stronger push higher.

Bearish technical traders would like to see the crypto fall and break below the trendline. A break below the trendline could cause the crypto to see a further dropoff.