BCH Price Prediction – January 8
Bitcoin Cash (BCH) vigorously defends a $240 support level after the rejection at $255.
Resistance levels: $270, $280, $290
Support levels: $220, $210, $200
BCH/USD recovery is capped under $260 despite the positive start on Monday. The cryptocurrency has also spent the last three weeks pushing for gains after finding a tentative bottom around $170 on December 18, 2019. More so, several levels of resistance hindered growth, including $180, $200 and $220. However, the surge that occurred yesterday blasted BCH/USD above $240 where the resistance at $240 was tested.
Looking at the daily chart technically, the current trend is positive and also in favor of the bulls. The RSI (14) stays above 65-level suggesting that the bullish pressure is building. However, if the bullish movement remains intact, Bitcoin Cash (BCH) is likely to push towards $260 while keeping the focus on $300.
In other words, should the market drives below the $260 support, the BCH price may likely slump to the initial support at $240, which may later bring the price back below the 9-day and 21-day moving averages to its critical supports at $220, $210 and $200.
Meanwhile, if there is an increase in buying pressure, the price may break out of the ascending channel to reach the $260 resistance. While trading at $260, a bullish continuation could reach the resistance levels of $270, $280 and $290 respectively.
When compared with Bitcoin, the daily chart reveals that the bears have started showing some commitment to BCH trading. However, following the recent negative signs, the trend may continue to go down if the sellers are given chanced to continue to pump more pressure into the market.
More so, as the RSI (14) signal line nosedives to 53-level, if the buyers can hold the support of 0.029 BTC, the market price may likely continue an upward movement, pushing further can take it to the resistance level of 0.032 BTC and 0.033 BTC but a retest could lower the price to 0.027 BTC and 0.026 BTC support levels.
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