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Bitcoin Cash Price Analysis: BCH/USD flirts with $230 ahead of consolidation

  • Bitcoin Cash recovery from last week’s support stalls at $230.
  • BCH/USD could enter into consolidation around $230 based on the MACD.

Bitcoin Cash value has continued to narrow below a descending trendline resistance following the bulls’ failure to support gains above $250. The downside has since last week been supported by the buyer congestion zone at $220. The same support was confirmed in the weekend losses. At the time of writing, BCH is flirting with $230. Its immediate upside is capped by the 50 Simple Moving Average (SMA). Also in line to hinder upward movement is the trendline resistance.

Technically, BCH/USD is poised for upward movement especially considering the Relative Strength Index (RSI). The indicator managed to find support at 44 and is now holding the ground above 50. If the trend towards the overbought remains intact, Bitcoin Cash could easily take down the resistances at $235 and $240.

The same upward trend is supported by the Moving Average Convergence Divergence (MACD). Its recovery from the recent to -2.17 hints that buyers are in control. Consolidation may come into play based on the sideways movement of the MACD above the mean line. As long as the bulls keep the price above $230, this consolidation would allow them to gather more energy to help pull the price above $240.

BCH/USD 1-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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