Bitcoin Cash has been trading in a small range for the past four days. It might resolve with a large range day, either to the upside or downside. If the large range day goes downside, weâ€™d better avoid doing anything.
But if the BCH/USD pair breaks out of the downtrend line and the 20-day EMA, it will signal a short-term bottom, which can be traded.
Therefore, we think a long position at $1,400 with a stop loss of $1,100 might be a smart move. The profit objective of this trade is a rally to the $1,925 - $2,000 levels.
Source: cointelegraph Rakesh Upadhyay, image: trading view