Bitcoin Cash Analysis: Key Support Near $550

Submitted by Anonymous (not verified) on Fri, 10/08/2021 - 09:28

Bitcoin cash price started a major increase above the $550 zone against the US Dollar.
The price is now trading above the $550 zone and the 55 simple moving average (4-hours).
There is a key bullish trend line forming with support near $580 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase).
The pair is correcting gains, but dips could be limited below the $550 level.

Bitcoin cash price is showing positive signs above $550 against the US Dollar, similar to bitcoin. BCH/USD could resume its increase as long as it is above $550.

Bitcoin Cash Price Analysis

Bitcoin cash price started a major increase from the $470 zone. BCH broke the $550 resistance level and the 55 simple moving average (4-hours).

The price settled above the $550 level and surpassed the $600 level. A high was formed near $636 and it is now correcting gains. The price declined below the $610 level. It declined below the 23.6% Fib retracement level of the upward move from the $530 swing low to $638 high.

On the downside, an initial support is near the $580 level. There is also a key bullish trend line forming with support near $580 on the 4-hours chart of the BCH/USD pair.

The trend line is close to the 50% Fib retracement level of the upward move from the $530 swing low to $638 high. A downside break below the $580 support zone could open the doors for a fresh decline. The next major support is near the $550 level, below which the bears might aim a test of $500.

An immediate resistance is near the $620 level. The next major resistance could be $640. The main breakout zone is near the $650 level. A clear break above $640 and $650 might trigger a sharp upward move.

Bitcoin Cash Price

Looking at the chart, bitcoin cash price is now trading above the $580 zone and the 55 simple moving average (4-hours). Overall, the price could continue to rise towards the main $640 and $650 resistance levels in the near term.