Bitcoin cash price has finally broken above the $1000 mark and strong bullish momentum has carried the price to challenge the $1324 mark. Bitcoin Cash price records an over 60 percent price hike across the last seven days showing strong bullish dominance. However, the sharp bullish activity leaves room for a volatile price movement.
The broader cryptocurrency market enjoys a bullish sentiment across the last seven days with most major cryptocurrencies recording profits across the timeframe. Major player includes Ripple’s XRP, and ADA that record a 17.36 and a 7.36 percent increase respectively. Meanwhile Bitcoin and Ethereum record a 6.57 and a 24.93 percent hike.
Technical indicators for BCH/USDT
Across the technical indicators, the MACD shows a declining bullish momentum. While the histogram is still green at the time of writing, the histogram’s size has decreased significantly as the Bitcoin Cash price struggled to climb above the 103 mark. Across the EMAs, the 12-EMA still trades above the 26-EMA, the difference between the two is significant and the chances of them showing a reversal are low.
The RSI broke out of the neutral region on May 5th but has since dropped back into the neutral zone. The indicator currently trades just below the 68.00mark and is moving upwards again suggesting a bullish presence at the current price level. Meanwhile, the RSI trades with a steep slope suggesting the buyers appear to be fighting back.
The Bollinger bands are currently wide but are converging rapidly as the bears take charge of the market momentum. The bands’ convergence suggests a drop in volatility for the BCH price in the short term. However, as the price is consolidating above the bands’ mean line, the bands will be leaning upwards for the next few candlesticks.
Overall the 4-hour technical analysis issues a buy signal with 14 of the total 26 major technical indicators suggesting their support for a bullish movement. On the other hand, only two indicators issue sell signals suggesting a bearish retracement. Meanwhile, ten indicators sit on the fence issuing no support for either side of the market.
The 24-hour technical analysis shares this sentiment and also issues a buy signal with 15 of the 26 indicators suggesting a bullish movement against only three indicators suggest a bearish retracement. Meanwhile, eight indicators remain neutral and do not issue any signals at the time of writing
What to expect from Bitcoin Cash price?
Traders should expect the Bitcoin Cash price to recover to the $1,450 mark as the price action shows strong buyer pressure. The technical indicators are bullish and the mid-term technical analyses also support this notion, suggesting a breakthrough above the $1450 mark. However, the price action still faces bearish pressure and struggles to climb above the $1400 mark. As such, traders can expect brief consolidation at the current price level before upwards movement.