Yesterday, a price spike broke the $240 resistance and retraced to a $236 low. The bulls are making frantic efforts to break above 26-day EMA.
BCH stands the chance of price upward move once the price is above EMAs. The bulls have an added advantage of having broken the resistance line of the descending channel.
This propels BCH to trade in a new trend. Undoubtedly, BCH is on the verge of crossing the minor resistance. On the upside, if the bulls push BCH above the minor resistance, the market will reach a high of $275. However, a breakout above $275, will catapult the pair to a high of $350. It is very unlikely if the price will turn down from the minor resistance at $240. If it does, a drop to $200 is possible. Later the selling pressure will extend $166 low.
Currently, BCH is at level 50 of the Relative Strength Index. The market was at level 20 when BCH reached the oversold region. The current level 50 indicates that the bulls have emerged to propel BCH upward. BCH is currently facing resistance in its recent move.
Key Resistance Zones: $440, $480, $520
Key Support Zones: $200, $160, $120
Bitcoin Cash is in an uptrend. The pair must jump over the first hurdle at $240 resistance. Failure on the bulls will lead to another round of fluctuation within the confined range. There is a possibility of a price falling below the lower price range.
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.