BUY BITCOIN
Key Points
- Bitcoin cash price is under a lot of pressure and it is still trading below $525 against the US Dollar.
- There is a major bearish trend line in place with resistance at $526 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair has to close above the $530 level and the 100 hourly simple moving average to gain traction.
Bitcoin cash price is slowly declining towards the $508 support against the US Dollar. BCH/USD must clear the $530 barrier for more gains in the near term.
Bitcoin Cash Price Resistance
There was a slow and steady decline in bitcoin cash price from well above the $550 level against the US Dollar. The BCH/USD pair broke many supports such as $540 and $530 on the way down. It also settled below the $540 level and the 100 hourly simple moving average. The recent swing low was $515 before the price corrected higher. It moved above the 23.6% Fib retracement level of the last decline from the $545 high to $515 low.
However, the upside move was capped by the $525-530 zone. Moreover, the 100 hourly SMA also acted as a resistance near the $528 level and prevented gains. Lastly, the price topped near the 38.2% Fib retracement level of the last decline from the $545 high to $515 low. The price is currently declining and it could continue to move down towards the $515 low. Below this, there is a strong support zone near the $508-510 levels. Further below this, there is a risk of a downside break below $500 in the near term. On the upside, there is a major bearish trend line in place with resistance at $526 on the hourly chart of the BCH/USD pair.
Looking at the chart, BCH price has to close above the $530 level and the 100 hourly SMA to gain upside momentum.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is mostly flat in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently below the 50 level.
Major Support Level – $508
Major Resistance Level – $530
