Bitcoin cash price is showing positive signs and it is trading above the $250 support. BCH is likely to continue higher and it might break the $265 and $270 resistance levels.

After a downside correction, bitcoin cash price found support near the $245 zone. BCH price traded as low as $246 and recently started a fresh increase. It broke the $250 resistance and remained well above the 100 simple moving average (4-hours).

There was a break above the 50% Fib retracement level of the downward move from the $263 high to $246 low. More importantly, there was a break above a key contracting triangle with resistance near $255 on the 4-hours chart of the BCH/USD pair.

The pair is now trading above the 61.8% Fib retracement level of the downward move from the $263 high to $246 low. It seems like bitcoin cash is likely to continue higher above the $260 level.

An initial resistance is near the $268 level or the 1.236 Fib extension level of the downward move from the $263 high to $246 low. If the price breaks the $268 resistance, it is likely to rise further towards the $280 and $285 resistance levels in the near term.

If bitcoin cash price corrects lower in the short term, it might find support near the triangle lower trend line at $252 or $250. The main support is now forming near the $248 zone and the 100 simple moving average (4-hours).

A downside break below the $248 support and a close below the 100 SMA could initiate a sharp decline and the price may perhaps revisit the $230 support zone in the coming sessions.

Technical indicators

Hourly MACD The MACD for BCH/USD is now slowly gaining pace in the bullish zone.

Hourly RSI (Relative Strength Index) The RSI for BCH/USD is currently well above the 50 level, with positive signs.

Key Support Levels $250 and $248.

Key Resistance Levels $268 and $280.

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Bitcoin Cash Smashes Key Resistance: Heres Why It Could Retest $270 | NewsBTC - newsBTC