Bitcoin Cash was built from the concept of making Bitcoin more convenient for small, regular transactions. Amid the latter, BCH has been underperforming in recent times and is unable to regain almost 50 percent of its annual growth. The fork sits 5th overall in the cryptocurrency ratings, with an estimated $4.5 billion market cap and a slight downside shift of -0.5 percent daily. Since the recent weeks, the price of Bitcoin Cash has mostly pushed sideways while awaiting a trigonal eruption on its extended consolidation bout around the $250. Presently, BCH/USD appears to have stabilized around its $245 trading price. The Bitcoin Cash network has successfully upgraded the protocol’s most recent changes to the ruleset. After the upgrade, the BCH community applauded the recent update to the protocol, the transaction limit rises from 25 to 50 and introduced additional features like opcode support, chain limit extension, and sig-checks.
*Presently, BCH/USD appears to have stabilized around its $245 trading price
*BCH has been underperforming in recent times and is unable to regain almost 50 percent of its annual growth
*The Bitcoin Cash network has successfully upgraded the protocol’s most recent changes to the ruleset
Key Levels
Resistance Levels: $300, $275, $250
Support Levels: $240, $225, $200
BCH/USD Daily Chart: Ranging
BCH/USD Daily Chart
Bitcoin Cash is holding on to an ascending trendline from the outlook of the daily chart, thus forming a triangle at the top. The MA 50, also restricts its initial downside. The trendline is part of a trigonal pattern ascending. Once Bitcoin Cash is unable to breach trend resistance around $275 then traders may have to anticipate a $200 range for a selloff. Additionally, ripping through the triangle resistance may push BCH between $275 and $300 in a convergence zone for sellers.
A breakup of the trend alluded to above is projected to be a bullish run. In an extremely improbable scenario of a trend reversal, however, support targets for the cryptocurrency remain steadfast at $225 and $200, respectively. Bitcoin Cash continues to converge between the resistance level of $275 and a support level of $225, as it reserves its energy before the next major eruption.
BCH/USD 4-Hour Chart: Ranging
BCH/USD 4-Hour Chart
On the contrary, indicating on the four-hour technical perspective, short-term analysis through BCH has a mild bearish bias as the MA 50 has downward crossed the MA 200. The RSI has slowed slightly at 50, in its recovery and transition. Movement downwards indicates selling pressure is gaining momentum. Once support refuses to hold at $245 and $240, BCH/USD may nosedive to seek less support and build new demand from traders hoping to buy low.
On the positive side, it is necessary to overcome the short-term resistance at $250 for further gains towards $260, and ripping the hurdle at $275 may open the way for gains to the key resistance range: $275-$300. The market sentiment reflects weekend support in the $225-$230 range. In the support, massive buyer pressure has pushed Bitcoin Cash upwards.
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