Bitcoin Cash price analysis: BCH/USD inverted head-and-shoulders blasts price through $340 hurdle
- The 100 SMA support is instrumental to the ongoing 3.4% recovery on the day.
- The full stochastic oscillator shows the bullish nature of BCH in the near-term.
Bitcoin Cash has insanely refused to follow the generally bearish trend across the market. The one-hour chart displays a cryptocurrency that is proving the ability to recover from the lows reached last week. The rock-solid support at $300 -305 was instrumental to the correction during the weekend sessions. However, the sensational move above the 50 Simple Moving Average and the 100 SMA 1-hour stopped shy of $345.
Also read: Crypto analyst: Bitcoin is going to $100,000
A quick comeback by the sellers pressed Bitcoin Cash through the support at $335 and $330. Fortunately, $325 was reliable enough to put a stop to the declines. Besides, the 100 SMA support is instrumental to the ongoing 3.4% recovery on the day. Moreover, reaction to the inverted head-and-shoulders pattern has immensely aided in the impressive gains.
Meanwhile, Bitcoin Cash continues to make strives above the 50 SMA in addition to stepping above $340. The widening gap between the 100 SMA and the 50 SMA hints rising buying influence. The full stochastic oscillator currently in the oversold shows the bullish nature of BCH. However, traders should be alert for a retreat under 70 which is likely to signal a reversal. The various support areas to keep in mind would be the short-term $335, $330, $320 and the major support at $300 - $305.
Author
John Isige
FXStreet
John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren
