The Bitcoin cash price shows many positive signs above the $ 360 and $ 350 support against the US dollar.
The price is currently quoted below the key resistance levels of $ 400 and $ 405.
An upstream channel is being formed with support close to $ 378 on the 4-hour chart of the BCH / USD pair (Coinbase data source).
The pair could start another wave once it clears the $ 400 resistance area.
Bitcoin's cash price is quoted in a bullish zone above $ 360 against the US dollar. BCH / USD is likely to continue above $ 400 unless it decreases below $ 360 support.
Bitcoin cash price analysis
This week, the bitcoin cash price followed an upward path above the $ 350 pivot level against the US dollar. In addition, the price of the BCH was set above the $ 360 resistance and the simple moving average of 55 (4 hours).
The bulls were able to gain strength above the $ 380 level. Finally, the price traded near the $ 400 resistance area. A high swing near $ 396 was formed and the price is currently consolidating the gains.
An initial downward support is close to the $ 378 level. In addition, the Fibonacci retracement level of 23.6% of the upward movement from the minimum of $ 306 to the maximum of $ 396. More importantly, a channel is being formed ascending with support close to $ 378 on the 4-hour chart of the BCH / USD pair. Below the channel support, there is a risk of further inconveniences below the $ 375 level. The next main support is near the $ 360 and $ 350 levels. They match the 50% retracement level of the upward movement from the minimum of $ 306 to the maximum of $ 396.
In addition, the simple moving average of 55 (4 hours) is also placed near the $ 350 level to act as an important support. Any additional loss below the $ 350 support area could begin a significant decrease in the next sessions.
The next key support is seen near the $ 305 level. On the positive side, there are many obstacles that form near the $ 395 and $ 400 levels. A successful close above the $ 400 level may require more gains. The next target for bulls may be close to the $ 422 level.
Looking at the chart, the bitcoin cash price is clearly traded in a positive zone above the $ 375 and $ 360 levels. As long as there is no close below the $ 350 level, there are chances of sharp gains above $ 400
Technical indicators
4-hour MACD: MACD for BCH / USD is gaining momentum in the bullish zone.
4 hours RSI (relative strength index): the RSI for BCH / USD is now well above level 50.
Key support levels: $ 375 and $ 350.
Key resistance levels: $ 400 and $ 422.