Bitcoin Cash’s journey since the dip on March 13 has been tumultuous least to say. With its price dipping as low as $132, the token has still managed to gain 84.76% in value. At the time of writing, the price of 1 BCH was above $200, $203.26.
With market cap well-above $3.5 billion, the token has a 24-hour trading volume of $3.985 billion. Additionally, the token has plunged by 7.58% in the last 24 hours alone. The token has also managed to surge by 1.26% in the last hour and a whopping 25.09% in the last 7 days.
Although there is a bearish pattern gawking at the price, there might still some surge left with the token. There is leg space for approximately 15 to 36% surge.
- The formation of an ascending up channel could cause the price to tumble in the medium to long term time frame.
- The drop could push BCH into a support zone extending from $169 to $186.
- In a shorter time frame, the price might manage to surge anywhere from 15 to 36%.
Bitcoin Cash’s Chart
The chart indicates the formation of an ascending channel or commonly known as up channel. This is typically a bearish pattern with price plunging out of the channel as it breaks out.
Although, the channel is bearish, currently, the price has more upside before the breakout. This breakout could take the price from $200 to $231, which is the first resistance. Breaching this level could allow the price to head higher to $276 where the 200-day MA (blue) will act as resistance.
Supporting this interim bullish move is the 50 moving average on the four hour time frame (green), which has been supporting the price for more than 2 days now. At the time of writing, the MA is acting as support. Hence, a bounce from here would accomplish the aforementioned bullish scenario.
Additionally, the Aroon indicator showed that the Aroon down line (red) has peaked, thus causing it to head down. However, the Aroon up the line (white) has still room to climb hence further supporting the bullish scenario.
In case the bears break the green MA, the token will bounce or get stuck in the resistance zone ranging from $169 to $186.
You May Also Read.