Bitcoin Cash (BCH) has experienced a significant surge, breaking above the $320 resistance level. Now trading above $335 and its 100-hour simple moving average, BCH is eyeing further gains as it consolidates, with potential to exceed the $350 resistance level.
The increase began notably above the $330 mark. After reaching a peak at $349.73, the price is currently in a consolidation phase. It has dipped slightly below the $345 level, specifically falling under the 23.6% Fibonacci retracement level from the upward trajectory starting at the $306.92 low to the $349.73 high.
Despite the minor correction, BCH remains robust above $335. There’s an evident bullish flag pattern forming with resistance at $345 on the hourly chart for the BCH/USD pair. A decisive break above this $345 resistance could herald another substantial rise.
Immediate targets include the $350 level, and surpassing this could accelerate the price toward $362. Any further upward momentum may push BCH towards the $380 resistance zone.
Should BCH fail to overcome the $345 resistance, it might face a fresh decline. The initial support on the downside is around $335, followed by significant support at $328, which coincides with the 50% Fibonacci retracement of the latest rally. Failure to hold above $328 could see BCH retesting the $320 support level, and deeper losses might lead to a revisit of the $305 zone.
Technical indicators suggest a mixed outlook; the 4-hour MACD is gaining traction in the bearish zone, while the RSI is positioned comfortably above the 50 level, indicating current relative strength.
Key support levels to monitor include $335 and $328, with critical resistance marked at $345 and $350. The unfolding price movements in the coming hours could determine whether BCH continues its upward trajectory or faces additional consolidation.
