Analysis of the Bitcoin Cash (BCH) Course rise: Important support areas and possible reset

Veröffentlicht:

Von:

Bitcoin Cash (BCH) hat in letzter Zeit erhebliche Kursgewinne verzeichnet. Der digitale Coin erreichte ein 14-Monats-Hoch und verdoppelte seinen Wert, nachdem er von EDX Markets, einer von Fidelity, Charles Schwab und Citadel unterstützten Kryptobörse, aufgenommen wurde. Zusätzlich dazu hat der jüngste SEC-Prozess gegen Coinbase und Binance keine Klarheit darüber gebracht, ob BCH als Wertpapier eingestuft wird. Diese Entwicklungen haben zu einem Aufwärtstrend von Bitcoin Cash geführt. Bei der technischen Analyse von BCH schauen wir uns die Charts an, um mögliche zukünftige Bewegungen des Coins vorherzusagen. Im Tages-Chart sind zwei Unterstützungsblöcke zu erkennen, die auf wichtige Unterstützungsbereiche deuten. Im November 2022 …
Bitcoin Cash (BCH) has recently recorded significant price gains. The digital coin reached a 14-month high and doubled its value after it was taken up by Edx Markets, one from Fidelity, Charles Schwab and Citadel. In addition, the latest SEC process against Coinbase and Binance has not clarified whether BCH is classified as a security. These developments have led to an upward trend from Bitcoin Cash. With the technical analysis of BCH, we look at the charts to predict possible future movements of the coin. Two support blocks can be seen in the daily chart that point to important areas of support. In November 2022 ... (Symbolbild/KNAT)

Bitcoin Cash (BCH) has recently recorded significant price gains. The digital coin reached a 14-month high and doubled its value after it was taken up by Edx Markets, one from Fidelity, Charles Schwab and Citadel. In addition, the latest SEC process against Coinbase and Binance has not clarified whether BCH is classified as a security. These developments have led to an upward trend from Bitcoin Cash.

When the technical analysis of BCH, we look at the charts to predict possible future movements of the coin. Two support blocks can be seen in the daily chart that point to important areas of support. In November 2022, BCH tested the area of ​​$ 90 before the price increased. However, in June 2023 there was a reset that brought the price back into the 90-$ area.

The daily relative strength index (RSI) indicates that BCH is currently overbought, which indicates an impending reset. Bear divergences between the course of the course and the RSI can be recognized, which typically signal a trend reversal. So it is likely that a clear setback will follow after the strong upward trend.

A healthy sweater could contain a renewed test of an earlier level of resistance and $ 145 seems to be a possible entry point. A decrease of 55% compared to the latest high of $ 330 would be an acceptable correction. However, if the course falls below $ 145, further lower support areas could be achieved. Another increase to $ 90 is not excluded, but would require an important market event.

In the weekly chart, a massive sideways channel has been shown since June 2022, which is reminiscent of the current pattern on the Chainlink (link) Chart. After the canal was finally broken, BCH experienced a bigger upward push. A trading range between $ 380 and $ 280 was also determined, in which support and resistance levels were tested. The support was broken in May 2022, and now this range is being tested again as a resistance.

The sliding 20-day average, which is currently $ 141, is an important area of ​​support that should be kept in mind. During a bull market, the 20-day average often acts as a support band and requires confirmation by a new test. If Bitcoin Cash entered an early bull market phase, a new test of the 20mA would be necessary.

The weekly RSI shows that BCH is very overbought, similar to April and May 2021. This indicates the impulsive character of the current wave. The level of the RSI reaches the same status as in January 2021.

In summary, it can be said that Bitcoin Cash has recently recorded significant price gains. However, the technical analysis suggests that a reset is likely due to the overbought conditions. A healthy sweater at about $ 145 could serve as a possible entry point, although further declines to lower support levels are not excluded. Long-term investors should keep an eye on the 20-day average line on the weekly chart, since it will serve as a critical support brand in an interest bully market phase.