Bitcoin cash price is recovering from the $225 support zone against the US Dollar. BCH is slowly gaining traction, but it is facing a strong resistance near the $240 and $242 levels.
- Bitcoin cash price is slowly correcting higher above $235 against the US Dollar.
- The price is likely to face a crucial hurdle near the $240 resistance zone.
- There is a key bearish trend line forming with resistance near $242 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).
- The pair must clear the $242 resistance zone to start a decent recovery wave in the near term.
Bitcoin Cash Price is Facing a Major Hurdle
In the past few days, bitcoin cash price consolidated in a range above the $224 and $225 support levels. A swing low was formed near $224 before the price started a fresh increase.
There was a break above the $230 resistance zone. The bulls were able to push the price above the 23.6% Fib retracement level of the downward move from the $260 swing high to $224 low.The trend line coincides with the 50% Fib retracement level of the downward move from the $260 swing high to $224 low. The 100 simple moving average (4-hours) is also close to the trend line resistance and $240 to prevent an upside break.