Bitcoin Cash Price Forecast: BCH/USD hits a wall at $280 in the wake of a falling wedge pattern breakout
|- Bitcoin Cash holds above $270 after suffering rejection at $280.
- BCH/USD remains in the hands of the bulls despite the rejection as highlighted by the RSI.
Bitcoin Cash bulls are working hard to join other major cryptocurrencies like Ethereum as they scale new highs on the first day of September. BCH/USD recently broke out of a falling wedge pattern following a sustained downtrend from highs marginally above $320 to o$260.
While the bullish action made it above the 50 SMA, Bitcoin Cash failed to gather enough strength to overcome the resistance at $280. This encouraged sellers to increase their positions, denting the progress BCH had made.
At the time of writing, Bitcoin Cash is trading at $273. Short term support has been established at $270. The crypto’s immediate upside is limited by the 50 SMA in the 4-hour range. The seller congestion at $280 is still intact and will most likely delay the bullish case towards $300.
According to the RSI, Bitcoin Cash is gradually getting back into the hands of the bulls. The MACD, on the other hand, shows that consolidation will take over in the coming sessions. Bitcoin bulls, in this case, have an opportunity to use this time to gather the strength and volume for a sustained breakout towards $300. On the flip side, support at $270 must also be defended at all costs to ensure that the losses under $270 are averted entirely.
Bitcoin Cash 4-hour chart
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