Bitcoin cash price, a cryptocurrency fork of Bitcoin, is up by 5.10% in today’s trading at 243.04. Does it have enough fuel to sustain its recent rally?
On the daily time frame, it can be seen that Bitcoin cash price has broken resistance at the falling trend line from connecting the highs of February 15 and March 7. This could suggest that the cryptocurrency may still have room to trade higher. Near-term resistance for BCHUSD is at 272.38 where the 200 SMA coincides with the 61.8% Fib level (when drawing the Fibonacci retracement tool from the high of March 7 to the low of March 12). If resistance at this price does not hold, the next ceiling on Bitcoin cash price could be at 353.70 where BCHUSD topped on March 6.
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On the other hand, if Bitcoin cash price cannot sustain its bullish momentum, BCHUSD may fall to 233.20. This price offers a confluence of support. For one, it coincides with the rising trend line from connecting the lows of March 29, April 1, and April 5. Secondly, it aligns with the 61.8% Fib level when drawing the Fibonacci retracement tool from the low of April 5 to the high of April 6.