Bitcoin Cash Makes Positive Moves but Declines Below $120 High

Bitcoin Cash (BCH) continues to move up despite its decline. The price of the cryptocurrency has risen to a high of $119.55 and has broken through the moving average lines.

BCH has since retreated above the moving average lines after being dumped at the high of $120. The altcoin will continue to rise to retest or break through the $120 and $130 barriers if buyers maintain positive momentum above the moving average lines. However, since August 23, the $130 resistance level has remained intact. If BCH fails at the current high, it will return to its previous range zone.  

Bitcoin Cash indicator reading

For the period 14, the BCH Relative Strength Index rose to the value of 58. At the recent high, the bullish momentum is rejected. The fact is that the price bars are above the moving average lines, indicating a potential upward movement. The daily stochastic is at 80, which means that the cryptocurrency is in a positive momentum. Since the cryptocurrency is overbought, the selling pressure might return.

Technical Indicators

Key Resistance Zones: $160, $180, $200

Key Support Zones: $120, $100, $80

What is the next direction for BCH?

Having reached the all-time high of $119, Bitcoin Cash is in a correction of the uptrend. The price of the cryptocurrency has been declining since it reached the overbought zone. The positive trend zone is traded at BCH. Once the sellers cross the moving average lines, the selling pressure will increase again.

Disclaimer. This analysis and forecast are the personal opinions of the author and 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 in funds.