- Bitcoin cash price continued to move down and traded towards the $270 support against the US Dollar.
- There was a break above a connecting bearish trend line with resistance near $300 on the hourly chart of BCH/USD (data feed from Kraken).
- The price failed to gain momentum after the break and continued to move down towards $270.
Bitcoin cash price failed to gain bids and moved down against the US Dollar. BCH/USD is currently testing a crucial support above $270.
Bitcoin Cash Price Support
It seems like there was no respite for Bitcoin cash price as it continued to move down from $340 against the US Dollar. The price extended its decline and currently placed well below the $300 handle. Earlier, there was an upside move from $280 towards the $320 level, but the price failed to gain momentum. There was even a break above yesterday’s highlighted connecting bearish trend line with resistance near $300 on the hourly chart of BCH/USD.
However, the price faced sellers near $320 and the 100 hourly simple moving average. It moved down and currently trading near a major support area of $270. The price is consolidating losses above $270 and might correct a few points higher in the near term. An initial resistance is around the 23.6% Fib retracement level of the last decline from the $390 high to $272 low. However, the most important resistance is near $320 and the 100 hourly simple moving average.
The $320 zone is also near the 38.2% Fib retracement level of the last decline from the $390 high to $272 low. Selling rallies in the short term towards $320 might be considered.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is mostly in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI is placed in the oversold levels.
Major Support Level – $270
Major Resistance Level – $300
Charts courtesy – Trading View, Kraken