- BCH/USD gained over 5% in a matter of hours.
- The intraday RSI implies downside correction from oversold territory.
Bitcoin Cash (BCH) has experienced steady growth in recent hours. The coins gained over 5% since the beginning of Monday and over 9% on a day-on-day basis to trade at $158.90 at the time of writing. BCH/USD jumped as high as $166.53 during early Asian hours but failed to hold the ground.
Bitcoin Cash is the 6th largest cryptocurrency with the market value of $2.9B and an average daily trading volume about $471M
Looking technically, the local resistance lies with 160.00, followed by the recent high of $166.53. However, the downward looking Relative Strength Index on the 1-hour chart suggests that the sell-off is likely to continue within the next hours.
At this stage, BCH/USD is well supported by SMA50 (1-hour) at $153.55. This technical indicator has been serving as a useful backstop since the beginning of the recent upside trend from March 14 low.
Once it is out of the way, the sell-off may be extended towards $145.00, closely followed by $144.40 (SMA100, 1-hour). Meanwhile, the ultimate short-term resistance is created by the upper boundary of the previous channel at $137.30 strengthened by SMA50 4-hour.
On the upside, a sustainable move above the recent high will open up the way towards $170.00 and $174.95, which is the highest level of 2019 so far.
BCH/USD, 1-hour chart
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