Bitcoin Cash (BCH) is an altcoin that was hard-forked from the Bitcoin codebase. It is a peer-to-peer digital cash system with distinguishing features like high speed, advanced security, affordable fees, and high throughput. It is a decentralized ecosystem with no financial intermediaries or central authority involved. Let us look at the technical analysis for BCH.
On Jul 21, 2021, BCH opened at $399.28. On Jul 27, 2021, BCH closed at $502.30. Thus, in the past week, the BCH price has increased by roughly 26%. In the last 24 hours, BCH has traded between $472.75-$505.50.
Currently, BCH is trading at $501.79. The price has decreased from the day’s opening price of $502.30. Thus, the market seems bearish.
The MACD and signal lines are positive. Moreover, a bullish crossover by the MACD line over the signal line has occurred. Thus, the overall market momentum is positive. Hence, we can expect the price to start rising.
Currently, the RSI indicator is at 64%. It faced rejection at 61% and rose to the current level. Hence, buying pressures are high. High buying activity will exert upward pressure on the BCH price.
However, the OBV indicator is downward sloping. Thus, selling volumes are higher than buying volumes. Hence, the price may fall further.
In short, the OBV indicator has given negative signals, while the MACD and RSI indicators have given positive signals. Thus, we have to wait and watch if the bullish momentum continues or a trend reversal occurs.
Currently, the price is above the Fibonacci pivot point of $493.52. The price may soon rise above the first Fibonacci pivot resistance level of $506.03. After that, we have to wait and watch if the price rises further or starts falling.
The price has tested and broken out of the 23.6% FIB retracement level of $497.77. It may further rise above the 23.6% FIB extension level of $513.23 as well. If by day close, the price retests and falls below these levels, the price downtrend is strong enough to sustain till tomorrow.