After recovering from a major dip, BCH is now flashing bullish signs.
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Key Takeaways
BCH price rebounded from $265 after forming a bullish falling wedge, indicating the end of a downtrend.
The breakout led to an ascending channel, supported by indicators like the MACD and AO.
The coin has also moved above the 20 EMA; bulls target a breakout above the $395.45 resistance.
After its drop to $265 on April 9, Bitcoin Cash (BCH) price seems to be moving from one bullish pattern to another.
This development has ensured that the cryptocurrency has evaded another correction, with eyes set on higher values.
As of this writing, the BCH price has changed hands above $345. The coin, which split off from Bitcoin (BTC) during the 2017 hard fork, could be ready to add an extra $100. Here is why.
BCH Upward Pressure Builds
Between March 6 and April 10, Bitcoin Cash’s price fell from $410 to $265. This price drop led the altcoin to form a falling wedge on the daily chart. A falling wedge is a bullish pattern that signals a potential breakout to the upside after a correction.
As shown below, BCH has risen above the wedge’s upper trendline. This indicates sellers have lost momentum, and buying pressure is slowly building.
Following the breakout, Bitcoin Cash’s price formed an ascending channel as it hit lower highs and lower lows.
While it faced resistance near $362, the Moving Average Convergence Divergence (MACD) held its ground in the positive region. The MACD’s positive reading indicates bullish momentum with the Exponential Moving Averages (EMAs), reinforcing the thesis.
In the chart above, the 12-period EMA (blue) has crossed above the 26 EMA (orange), validating the bullish bias.
BCH bulls are likely to defend the support at $320.68 if this remains the case. This could also help breach the overhead resistance around $395.45.
BCH Price Analysis: Higher Highs in Place
In line with this outlook, the Awesome Oscillator (AO) reading has recovered from the negative zone while flashing green histogram bars.
Like the MACD, the AO measures momentum. Therefore, the positive reading of the AO indicates rising bullish momentum around BCH.
Apart from the AO, CCN also observed that Bitcoin Cash’s price has climbed above the 20 EMA (blue), which typically acts as key support.
Breaking above it indicates that BCH is in a bullish trend. Should this trend continue, Bitcoin Cash’s price might breach the resistance around $389.99.
If validated, BCH’s next move could be a run to $445 at the 0.50 Fibonacci level. If buying pressure increases at this level, the coin’s value could rally to $500.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
