Data chart from BCH/USD shows that Bitcoin Cash is stuck between the 50 SMA near $300 and the 100 SMA support at $280. The cryptocurrency seems to have failed to hold its position again above $300 followed by rejection at $320. Bitcoin Cash is the fifth-largest cryptocurrency by market capitalization. The cryptocurrency is one of the biggest and key forks of Bitcoin (BTC). Bitcoin Cash blocks can now handle 8 MB of data, as opposed to Bitcoin’s 1 MB. The cryptocurrency came out in mid-2017 when the BTC bull run of that time was still ongoing.
BCH Between $300 Resistance and $280 Support
On Thanksgiving Day, Bitcoin Cash went on a downwards rally. The last week’s price crash failed to support the three moving averages: 50 SMA, 100 SMA, and 200 SMA on the 4-hour chart. However, buyer congestion at $250 stopped the altcoin from going on a further downwards crash.
However, there was a rebound from crucial support. That itself reclaimed the position above $300 from earlier this week. The cryptocurrency did get stuck at $320, resulting in a price correction followed by a further fall down by 13%.
Meanwhile, the data chart from BCH/USD shows support at 100 SMA at $280. The altcoin seems to be hovering at $289 while struggling to push above the $300 mark.
The price movement seems to have stuck at the 50 SMA, a little under $300. Although, there might be a price breakout if one has to look into the resistance at 50 SMA and support at 100 SMA.
Traders Should Consider Holding Above the 100 SMA
Investors trading above 50 SMA while struggling at $300 might call shots for more buyers if the price line continues towards $400. In counterpart to this, traders should consider holding above the 100 SMA to stop the cryptocurrency from falling more to primary support at $250. The 200 SMA will absorb some of the selling pressures while preventing the cryptocurrency from falling further downwards towards $200.