Reason to trust
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
Key Points
- Bitcoin cash price did not correct higher and declined below the $1,200 support against the US Dollar.
- There are two bearish trend lines forming with resistance at $1,250 and $1,280 on the hourly chart of BCH/USD (data feed from SimpleFX).
- The pair may decline more in the near term and it could even break the $1,100 support level.
Bitcoin cash price declined further below $1,200 against the US Dollar. BCH/USD looks set to extend the current decline towards or below $1,100.
Bitcoin Cash Price Resistance
There was no stopping sellers as bitcoin cash price failed to correction above the $1,300 level against the US Dollar. The price declined and broke yesterday’s low to trade below the $1,200 level. It opened the doors for more losses and the price traded towards $1,150. A low was formed at $1,134 and it seems like the price is struggling to correct higher in the short term.
On the upside, the price is facing resistance near the 23.6% Fib retracement level of the last drop from the $1,325 high to $1,134 low. There are many resistances on the upside below the $1,300 level. More importantly, there are two bearish trend lines forming with resistance at $1,250 and $1,280 on the hourly chart of BCH/USD. The first bearish trend line is close to the 50% Fib retracement level of the last drop from the $1,325 high to $1,134 low. Therefore, a break above the $1,250 and $1,260 levels won’t be easy. Above $1,260, the second trend line at $1,280 is the next hurdle.
On the downside, the recent low of $1,134 is a short-term support. If the price breaks the stated level, it could test the $1,100 level.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is placed nicely in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently near the oversold levels.
Major Support Level – $1,100
Major Resistance Level – $1,250
Charts courtesy – SimpleFX
