Bitcoin Cash Breaks $480 Resistance; Can Bulls Sustain the Current Momentum?
Today, Bitcoin Cash is making a positive move despite the recent breakdown. It is approaching the high of $480. The altcoin will resume upside momentum once the bulls break the $480 resistance.
Recently, BCH was in a price spike as the coin rallied to $654 high. Unexpectedly, the rally was neutralized as the price fell back to the $397 low.
The crypto has resumed a fresh uptrend to retest the previous highs. Nevertheless, if the bulls fail to break into the previous highs, BCH will fall. If price breaks below the $380 support, the crypto will be compelled to a range-bound movement. For the past month, BCH was range-bound between $250 and $380 before the resumption of the bull market.
Bitcoin Cash indicator reading
Bitcoin Cash is below the 80% range of the daily stochastic. This indicates that the market has bearish momentum. On the daily chart, the price bars are above the 21-day and 50-day SMA which suggests that the coin is in the bullish trend zone.
Key Resistance Zones: $440, $480, $520
Key Support Zones: $200, $160, $120
What is the next move for Bitcoin Cash?
Bitcoin Cash bulls are struggling to break the resistance at $480. Nevertheless, the Fibonacci tool has indicated an upward movement of the coin. On January 12 uptrend; the retraced candle body tested the 61.8% Fibonacci retracement level. The retracement indicates that BCH is likely to rise to level 1.618 Fibonacci extensions. In other words, BCH will rise to a high of $581.15
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.
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