Bitcoin Cash market update: BCH/USD stays above $400; upside capped at $450
|- Additional bullish momentum corrected above $440 and tested $450.
- The Relative Strength Index (RSI) is horizontal at $57.69 after failing to break above 70.00.
Bitcoin Cash is still navigating out of the submerged ‘crypt’ following the retracement on Friday last week. The surge that took effect last week saw BCH/USD correct above several key resistances at $280, $340 and $400. Additional bullish momentum corrected above $440 and tested $450 to the upside before correcting lower.
There was correction below $400 found support at the 38.2% Fib level taken between the last swing high of $452.09 and a swing low of $228.20. The asset was also supported by the rising 100 Simple Moving Average (SMA) 4-hour. A correction from this support pushed BCH/USD above $400 and later touched $420.
Bitcoin Cash is currently holding position above $400 amid a slightly building bearish momentum. The Relative Strength Index (RSI) is horizontal at $57.69 after failing to break above 70.00. The moving average convergence divergence (MACD) is sitting in the positive region at +11.61. The indicator divergence shows that the price is primed for losses in the short-term. It is vital that Bitcoin Cash stays above $400 in the coming sessions on Monday to avoid a further breakdown that could retest $340.
BTC/USD 4-hour chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.