Bitcoin Cash (BCH) Holds Key Support Around $540 Throughout The Week

This week, Bitcoin Cash recovered above the $540 and $520 resistances against the USD. A significant contracting triangle was formed with support around $545 and the pair stayed above this level during the week. It failed to move above $600 and continued to trade around $545 and $540.

Bitcoin Cash (BCH) Price Finds Support On The Weekly Chart

During the early days of trading this week, Bitcoin Cash declined sharply falling near $465 against the USD. After it fell to this level, a recovery was attempted and the price moved up forming resistances at $580, $540, $520 and $500. It also went above $600 briefly but sellers came back to the market around the 100 SMA forming a high around $613.7 before the decline started.

Bitcoin Cash broke the 23.6% Fibonacci retracement level of the last rise from $468 to $613. Today, the price of Bitcoin Cash is trading around a significant support at $540. This same zone acted as support earlier in the week and prevented declines. On the 4-hour price chart of Bitcoin Cash, a contracting triangle was formed around $545. The 50% Fibonacci retracement level of the last rise from $468 to $613 was around $540. If the price breaks the $540 support, it will fall back into the bearish zone.

Bitcoin Cash Price Technical Analysis

The weekly technical charts show that Bitcoin Cash (BCH) is still holding support at $540. If the cryptocurrency is able to hold this level in the coming week, it will gather the momentum needed to move toward $600 and $620.

Bitcoin Cash (BCH) Price Today – BCH / USD

NamePrice
bitcoin
Bitcoin
$7,992.09-2.88%
bitcoin-cash
Bitcoin Cash
$218.94-5.43%

The relative strength index is near the 50 level while the MACD on the 4-hour chart is in the bearish territory. The significant support level is $540 while the significant resistance is at $600. The next few days of trading will determine if the price will hold above the significant support level and bounce back or if it break it and fall even lower below $500.

Ufuoma Ogono is a cryptocurrency writer with over 3 years experience in the cryptocurrency industry. She dedicates her time to sharing valuable information to members of the cryptocurrency community.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.