Bitcoin (CRYPTO:BTC) is the leading cryptocurrency by market cap. Bitcoin Cash (CRYPTO:BCH) is a peer-to-peer version of Bitcoin.
Bitcoin is limited by slow transaction times and only seven transactions can be handled per second. Bitcoin Cash was made to help handle this problem by increasing the block size to accelerate transactions.
Bitcoin Daily Chart Analysis:
- Bitcoin was unable to break above the $60,000 price level and shortly after saw a large correction.
- Bitcoin is trading below both the 50-day moving average (green), and the 200-day moving average (blue), indicating the sentiment has been bearish.
- Each of these moving averages may hold as an area of resistance on the chart.
Key Levels To Watch:
- Bitcoin was unable to pass the $60,000 level and later saw a correction. Following the correction, Bitcoin found support near the $30,000 level.
- Resistance may still be found near the $60,000 level as the price has had trouble crossing this level in the past.
- Bitcoin found support near $30,000 and now this level may hold again as support in the future.
Bitcoin Cash Daily Chart Analysis:
- Bitcoin Cash broke out of an ascending triangle pattern, rallied, and has since fallen to the higher low trendline.
- Bitcoin Cash is trading below the 50-day moving average (green), but above the 200-day moving average (blue), indicating there is likely a period of consolidation happening.
- The 50-day moving average may hold as an area of resistance, while the crypto may find support near the 200-day moving average.
Key Levels To Watch:
- The ascending triangle had resistance near the $800 level, Bitcoin Cash was able to break out of the ascending triangle pattern but has since fallen back to the trendline.
- Beyond the $800 mark, resistance may not be found until the crypto nears the $1200 level.
- Bulls have maintained control of Bitcoin Cash as it has held a higher low trendline, this trendline may hold as support again.
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