Bitcoin Cash Price Analysis: BCH/USD Could Test $900

Key Points

• Bitcoin cash price surged higher and broke a major resistance near $850 against the US Dollar.
• Yesterday’s highlighted key bullish trend line is intact with support near $810 on the hourly chart of the BCH/USD pair (data feed from Kraken).
• The pair is likely to accelerate gains above the $875 level and it could test $900 in the near term.

Bitcoin cash price rocketed higher and broke the $850 barrier against the US Dollar. BCH/USD remains in a major uptrend and it could test $900.

Bitcoin Cash Price Uptrend

Yesterday, we saw a sharp rally above the $800 level in bitcoin cash price against the US Dollar. Later, the BCH/USD pair corrected lower and tested the $780 support area, which acted as a buy zone. As a result, there was a fresh upward move and the price broke the $810 and $850 resistance levels. The upside move was strong as the price traded towards the $875 level and formed a high at $876.

At the moment, the price is consolidating gains below $875. An initial support is near the 23.6% Fib retracement level of the last wave from the $780 low to $876 high. More importantly, yesterday’s highlighted key bullish trend line is intact with support near $810 on the hourly chart of the BCH/USD pair. The trend line support and $800 holds a lot of significance since they were resistance zones earlier. Moreover, the 50% Fib retracement level of the last wave from the $780 low to $876 high is positioned near the $829 level to prevent declines.

Looking at the chart, the price placed in a solid uptrend and it seems like it could break the $876 high. Above this, there are high chances of it moving towards the $900 level.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is currently reducing its bullish slope.

Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is placed in the overbought zone.

Major Support Level – $829

Major Resistance Level – $876

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