Throughout the past week, the Bitcoin Cash (BCH) price has risen from the $ 600 support level and has risen significantly.
Bitcoin Cash is expected to continue to rise to as little as $ 850 and is likely to move higher thereafter.
Long-term level of Bitcoin Cash
The weekly chart shows that BCH has risen significantly during the week from February 8 to 15 to reach a high of $ 754. This is the highest price for BCH since July 2018.
Despite the rise, BCH remains far from the main resistance zone at $ 1,160. This is both the 0.618 Fib retracement level of the previous down move and the horizontal resistance zone. If successful in a move above it, the next resistance level will be found at $ 1,840.
Despite bearish divergences in the weekly RSI, both the MACD and the Stochastic Oscillator are moving up. RSI is still trending up above 70.
The trend looks bullish, and BCH is likely to reach the $ 1,160 resistance zone.
Trader TheEuroSniper says that BCH has lagged behind a lot and will catch up to the rest of the market soon. He has outlined a strong resistance zone near $ 1,600. Levels are found between the two resistance zones we mentioned above.
The daily chart also supports the continuation of the uptrend. It shows a break above the $ 600 resistance zone and confirms support on Feb. 15. It left a very long lower shadow after that.
MACD, RSI, Stochastic Oscillator are all increasing, indicating an uptrend and BCH is likely to move higher.
The number of waves shows that BCH is in wave three (in white) of a long-term bullish momentum that started in December 2020.
The sub-wave count is shown in orange and shows that BCH is in the fifth and final sub-wave.
The most likely target for this move is in the range of $ 850- $ 860. This range is found using the length of wave one (white) and the length of wave 1 (in white) and the length of wave 1. -3 shines to the bottom of the fourth wave (orange).
BCH / BTC
The BCH / BTC chart shows the price has been moving along the descending resistance line since March 2019. Currently, this line coincides with the resistance zone of 0.025. As long as BCH is still trading below this line, we cannot see the trend as bullish.
However, technical indicators show that the trend is likely to reverse. The weekly RSI produced a significant bullish divergence, the Stochastic Oscillator produced a bullish cross and the MACD histogram just crossed the positive zone.
Hence, BCH is expected to rise towards 0.025 and a breakout is likely. If so, the next resistance zone will be found at 0.046.
Bitcoin Cash is expected to continue rising to $ 850 and a breakout above this is likely.
BCH / BTC is expected to rise towards 0.025 and a flare-up to strike the 0.046 level.