Bitcoin cash has seen a bullish price run totaling over 3.64% over the past 24 hours of trading. The cryptocurrency is presently exchanging hands at a price around $483 after witnessing a further price increase totaling 10.26% over the past 7 trading days.
- Bitcoin Cash has recently seen a price surge breaking above the $480 handle.
- The RSI indicator is showing signs that the bulls are still in control of the market momentum.
- Support moving forward; $477, $447, $429, $420, $407, $400.
- Resistance moving forward; $499, $520, $542, $578, $600, $641, $667, $704, $714.
Bitcoin Cash is now ranked in 4th position in terms of overall market cap across the entire industry. It holds a total market cap value of around $8.41 billion after undergoing a rough 90 day period where the market saw a price decline totaling -30.62% from low to high.
The 15-month-old coin is currently trading at a value that is -88% lower than its all-time high price.
Let us continue to analyze price action for Bitcoin Cash over the close term and highlight any areas of potential support and resistance.
Bitcoin Cash Price Analysis
Analyzing price action from the short term perspective above, we can see that Bitcoin Cash had experienced a price surge where the market began at a low of $408 on September 17, 2018, and extend to a high of $590 on September 27, 2018. This was a price increase totaling 44% from low to high.
We can see that as the market placed the high it had met short-term resistance at a 1.618 Fibonacci Extension level (drawn in red) priced at $578.40 before rolling over. Price action then continued to decline during September 2018 until support was found at the short term .886 Fibonacci Retracement level priced at $429.
Over the past few days we can see that price action has made a small bullish run breaking above resistance provided by the short term .618 Fibonacci REtracement level priced at $477.
Moving forward, in our bullish scenario, if the buyers continue to drive the market action higher we can expect immediate higher resistance to be located at the short term .5 Fibonacci Retracement level priced at $499. If the bullish pressure can continue higher we can find higher resistance at the .382 Fibonacci Retracement level priced at $520.50.
If the bulls can then continue to break up above the resistance at the September high priced at $590 we can expect further higher resistance above to be located at the 1.272 and 1.414 Fibonacci Extension levels (drawn in blue) priced at $641 and $667 respectively. The last level of significant resistance to highlight is located at the 1.618 Fibonacci Extension level (drawn in blue) priced at $704.
Alternatively, in our bearish scenario, if the sellers re-enter the market and drive price action lower we can expect immediate support below to be located at the .618 and .786 Fibonacci Retracement levels priced at $477 and $447 respectively. Further support located below this can then be expected at teh .886 Fibonacci Retracement level priced at $429 followed by strong support in the $420 area.
The RSI is currently trading well above the 50 handle indicating that the bulls are in control of the momentum within the market. If the RSI can remain above the 50 handle we can expect this market to continue to make gains. However, it is important to notice that the RSI is reaching oversold conditions and a short-term pullback may be required before the market can climb further higher.
Disclaimer The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
Yaz is a cryptocurrency technical analyst and has been actively trading financial markets for over 7years, with 4 years of crypto experience. He is an Economics graduate who has taken a keen interest on the future potentials of blockchain in the financial industry. Aside from cryptocurrency and trading Yaz enjoys spending his time watching his favourite football team (Liverpool F.C.) compete as well as keeping up-to-date with the UFC. Follow him at @TcmYaz.