BUY BITCOIN
Key Points
- Bitcoin cash price declined further and broke the $460 and $450 support levels against the US Dollar.
- This week’s followed major bearish trend line is still in place with resistance near $460 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair remains in a downtrend and it seems like it could continue to move down towards $400.
Bitcoin cash price is under pressure as it broke the $450 support against the US Dollar. BCH/USD is likely to extend losses towards $410 and $400 in the near term.
Bitcoin Cash Price Resistance
Recently, there was a minor upside correction above $480 in bitcoin cash price against the US Dollar. The BCH/USD pair traded towards the $490 level where sellers emerged. As a result, there was a bearish reaction and the price declined below the $470 and $460 support levels. The decline was such that the price even broke the $450 support level and is currently trading well below the 100 hourly simple moving average.
A fresh monthly low was formed at $425 before the price started a tiny range pattern. It tested the 23.6% Fib retracement level of the recent decline from the $476 high to $425 low. The price failed near the $440-445 zone and it is currently moving south. On the upside, there are many resistances near the $450 and $460 levels. More importantly, this week’s followed major bearish trend line is still in place with resistance near $460 on the hourly chart of the BCH/USD pair. Additionally, the 50% Fib retracement level of the recent decline from the $476 high to $425 low is at $451.
Looking at the chart, BCH price remains at a risk of more losses below the recent low of $425. The next target for sellers may well be $400.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is currently in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is well below the 40 level.
Major Support Level – $425
Major Resistance Level – $460
