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Bitcoin Cash Price Analysis: BCH/USD down 0.5% on the day after breaking trendline resistance

  • Bitcoin Cash recovers above $230 but fails to sustain gains towards $240.
  • BCH/USD upside is limited by the 50 SMA culminating in a 0.5% loss during the Asian session on Wednesday.

Bitcoin Cash is trading side by side the other major cryptocurrencies. Choppy markets have become the norm this week except for Bitcoin (BTC), which not only broke above the resistance at $9,000 but also closed in on the next hurdle at $9,300. BCH/USD continues with the struggle to sustain the uptrend.

The break above the key descending triangle opened the door for gains above $230. Very little progress has been made towards the next important zone at $240. Instead, the price has stalled at the 50 SMA in the 4-hour range. BCH/USD is exchanging hands at $231 while the bulls try to hold onto the support at $230.

Looking at the applied technical indicators, Bitcoin Cash is unlikely to continue with the uptrend in the near term. What is likely is a consolidation period above $230. This will give the buyers ample time to gather the strength they need for gains towards $240 and $250 respectively. The RSI is moving sideways after stalling at 55 while the MACD shows that buyers have more influence over the price, although they lacked a catalyst to sustain the break above the trendline resistance.

BCH/USD 4-hour chart
BCH/USD price chart

Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

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