In the last 24 hours, Bitcoin Cash has showcased the most ranging moves below $1040 in BCH prices against the USD. BCH prices tested the $1030 level, but eventually, it failed to move past the stated resistance. Following the $1030 level was a significant downside reaction that moved BCH prices towards the $980 level, breaking several retracement levels including the $945 low at the $1033 high against the USD.
However, the decline by the pair fell short as more BCH buyers bought at $980 support level. The $945 low acted as support as well as $1033 high also serving as support. At the time of this writing, BCH prices were valued at $980. If the BCH/USD pair is to move below $980, the next possible support level would be at $950. On the upside, there seems to be a significant bullish trend developing forming a resistance near $1020.
The BCH/USD pair charts seem to be facing near significant resistance levels at $1020 and $1040. At the $1040, BCH/USD needs a break and close for buyers to take control and lead to a bullish trend past the $1040 resistance level. Above $1040, buyers would likely form another resistance level at $1100.
Bitcoin Cash currently has a market cap of $16.86 billion where a total volume of $557 million was traded in the past 24 hours. Understandably, the slide in the market cap of Bitcoin Cash can be linked to the poor overall performance of the entire cryptocurrency market in the month of May. The performance of BCH cannot be pointed out to any technical glitch or loss of user case application. It should be noted that Bitcoin Cash has had more bears in the month of May than it did in the month of April. For this reason, many critics are satisfied with the performance of BCH/USD.
What is even more encouraging about the shape of the BCH/USD pair charts is the fact that retracements are followed by higher highs just as was the case in April. BCH buyers have made it a habit of reappearing when BCH prices are at their lower lows in short time frames. Following the bullish candlestick that was the order of the day yesterday, BCH traders should expect to see undervaluation in the lower time frame charts which might be in plenty, and trade the pair with the trends. Buyers should look to a target value of $1700 and enter a stop loss at $900.
In conclusion, the last 24 hours have seen BCH scale up the bull ladder against the USD. There is high probability chance that BCH could continue scaling up in the days to come. The BCH/USD pair has continued to perform well despite the news of the full node migration problem and the good news of listed at the De Vere and this opens up BCH to a new pool of investors. In the meantime, BCH is continuing to consolidate below $1040 against USD, but given the prevailing market conditions, BCH/USD pair could gain momentum above $1040.