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Bitcoin Cash Price Technical Analysis BCH USD

Bitcoin Cash Price Technical Analysis – BCH/USD Breaks Down

Avatar Aayush Jindal 2 years ago

Key Points

  • Bitcoin cash price failed to hold the $950 support level and declined below $900 against the US Dollar.
  • There are two key bearish trend lines forming with resistances at $940 and $960 on the hourly chart of the BCH/USD pair (data feed from Kraken).
  • The pair is under a lot of pressure and it is likely to break the $880 support as well.

Bitcoin cash price is trading lower towards $850 against the US Dollar. BCH/USD is now well below the $950 level and it remains at a risk of more losses.

Bitcoin Cash Price Decline

There was an increase in selling pressure as bitcoin cash price failed to hold the $950 support against the US Dollar. The mentioned $950 support was significant and a break below the same has the path for more losses. The price even broke the $920 and $900 levels to trade as low as $881 recently. Later, there was a minor upside correction and the price moved above the 23.6% Fib retracement level of the last drop from the $990 high to $881 low.

However, the upside move was capped by the $920 level. Moreover, the 38.2% Fib retracement level of the last drop from the $990 high to $881 low also prevented gains. BCH is once again declining and is currently flirting with the $900 level. To the topside, there are two key bearish trend lines forming with resistances at $940 and $960 on the hourly chart of the BCH/USD pair. The first trend line is also close to the 50% Fib retracement level of the last drop from the $990 high to $881 low.

Bitcoin Cash Price Technical Analysis BCH USD

Therefore, if the price corrects higher, it will most likely face sellers near $940-950. On the downside, the price may even break the $880 low for a test of $850.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is slightly in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is moving lower towards the 30 level.

Major Support Level – $880

Major Resistance Level – $940

 

Charts courtesy – Trading View

Aayush Jindal

Aayush is a Senior Forex, Cryptocurrencies and Financial Market Strategist with a background in IT and financial markets. He specialises in market strategies and technical analysis, and has spent over a DECADE as a financial...

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