Bitcoin Cash has plunged to its previous low at $268 as buyers responded positively to push the coin on the upside.
This is because of its rejection from the previous highs. In its first rejection on December 21, the altcoin dropped to $310 and corrected upward. The correction to $320 high led to the second rejection of BCH. The altcoin fell above the critical support at $250 which is the support for upside momentum.
The altcoin has already resumed upside momentum as the price approached the $320 resistance level. BCH will receive price acceleration if buyers overcome the $320 resistance. On the upside, if the bulls clear the resistances at $320 and $360, a rally above $500 is likely. Today, BCH has risen to $309 as it faces the resistance zone.
The crypto’s price has broken the resistance line of the descending channel. The implication is that the bearish trend has been terminated. The coin is now in a bullish trend. Presently, the crypto is above the 40% range of the daily stochastic. It indicates that the market has resumed bullish momentum.
Key Resistance Zones: $440, $480, $520
Key Support Zones: $200, $160, $120
Following the recent breakdown at $268 low, the coin rebounded immediately to reach a high of $309. On December 24 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 extension. In other words, BCH will rise to a high of $313.04
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.