Bitcoin Cash has been on the slope since the end of September, but over the past 4 weeks it has become more turbulent. The crypto asset managed to break through its resistance level at $ 341 several times, but its value was reached by a correction within 24 hours. At the time of going to press, BCH was again in a similar situation, with the possibility of a downturn extremely likely.
Bitcoin Cash 1 Day Chart
As explained earlier, Bitcoin Cash has been on the rise since September 22, with BCH maintaining a position above the ascending support level. It’s also important to note that the 50 moving average acted as underlying support, with the token bouncing above the MA consistently.
The main observation that one can make when examining the structure of the BCH market is its affinity with sideways moves. There is no particular escape because Bitcoin Cash is based solely on the collective bull market. The crypto-asset recently broke above $ 380, a level that was its immediate resistance, at the time of writing. However, if its previous peaks are any evidence, BCH could be gearing up for another step in the coming days.
Given the volatility of the cryptocurrency, the support at $ 270 should be the last test range before another move higher in the charts. On the other hand, market indicators were pointing to higher movement ahead of the next price drop.
As shown in the attached chart, the EMA ribbons appeared to be expanding on the horizon, which may suggest the solidification of the uptrend at the time of release. The Relative Strength Index or RSI was also on the rise, and it looked likely to hit the overbought area on the charts.
Finally, the Awesome Oscillator or AO also highlighted the resumption of bullish momentum on the charts. The green candles on the AO histogram suggested a rise, a finding that seemed consistent with the BCH price movement.
For Bitcoin Cash, its dependence on Bitcoin is obvious. The crypto market will continue to hit higher highs for Bitcoin Cash, but a drastic change in the future will result in massive corrections below $ 300.
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