Bitcoin Cash Holds Above $250 Support, Uptrend Likely
Bitcoin Cash has gone into consolidation above the $256 support. In the earlier upward move buyers have been facing rejection from the $280, $276, and $263 resistance levels.
BCH price is making a series of lower highs and lower lows. On November 10, the coin dropped to $256 low and resumed consolidation above it. BCH is currently fluctuating in a tight range between $256 and $263. The price action is characterized by small body candlesticks like Doji and Spinning tops.
The presence of these candlesticks during consolidation indicates that buyers and sellers have reached a period of indecision. The price movement is stagnant between the current price range of $256 and $263. BCH will trend higher or lower, once this tight range is broken. For example, a break below $256 will push the coin to $245 low. Similarly, a breakout at $263 will propel the price to breach the minor resistances and a retest at the $280 high is likely.
Bitcoin Cash indicator reading
BCH is at level 51 of the Relative Strength Index period 14. The RSI has been stable for the past few days. There has been a balance between supply and demand. The price has been fluctuating below and above the 21-day SMA. BCH will resume an upward move if the price is sustained above the SMAs. The reverse will be the case if the price is sustained below the SMAs.
Key Resistance Zones: $440, $480, $520
Key Support Zones: $200, $160, $120
What is the next move for Bitcoin Cash?
For the past 48 hours, the BCH price has been stable above $250 which is the support for the upside momentum. Meanwhile, On November 7 uptrend, BCH was resisted, the retraced candle body tested the 38.2% Fibonacci retracement level. This implies that the coin will rise to a level of 2.618 Fibonacci extensions. That is BCH will reach a high of $353.80.
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.
coinidol.com By Coin Idol