BCH breaks long-term resistance, what’s next?
Bitcoin Cash (BCH) broke the long-term resistance area at $ 1,160.
BCH is expected to continue moving up towards the next area of resistance.
Outbreak over the long-term zone
BCH attempted a breakout on April 2nd but was rejected by the long-term resistance area of $ 1,160. After the fall, he’s making another breakout attempt and has moved well over that area. If prices hold, the current weekly close will be the highest since 2018.
Technical indicators are increasing. This is especially evident when the RSI crosses above 70. In addition, both the MACD and the stochastic oscillator are bullish.
The next resistance area is at $ 1,840.
Weekly BCH / USD Chart | Source: TradingView
The number of waves is not entirely clear. Most likely, the price is in sub-wave five (orange) of the long-term wave three (white).
A potential target for the top of the bullish move is $ 1,770. This level is close to the long-term resistance described above.
Similar to the weekly timeframe, the 2-day technical indicators support this upward trend.
Once the target is met, the price will likely correct itself significantly.
BCH / USD 2-day chart | Source: TradingView
BCH / BTC
BCH / BTC has broken the descending resistance line that has formed since March 2019.
However, it is still trading below the key resistance area at ₿0.025. As long as the pair does not break this zone, we cannot view the long-term trend as bullish.
However, it looks like BCH / BTC will manage to break over it. The RSI has just passed the 70s and both the MACD and the stochastic oscillator are turning up.
When that happens we can consider the long-term trend bullish.
3-day BCH / BTC chart | Source: TradingView
BCH / USD is expected to continue its uptrend towards the next resistance near USD 1,800.
BCH / BTC is expected to recapture the ₿ 0.025 resistance area.
Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.
According to Beincrypto