- Bitcoin cash price is under a lot of pressure and is trading well below the $700 level against the US Dollar.
- There is a major bearish trend line forming with current resistance at $660 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair has to move above $660 and $700 to start a fresh upward wave in the near term.
Bitcoin cash price declined heavily and tested the $625 level against the US Dollar. BCH/USD remains at a risk of more losses as long as it is below $660.
Bitcoin Cash Price Decline
There was a massive drop in bitcoin cash price below the $700 support level against the US Dollar. The price declined and traded below the $650 level. A low was formed near the $625 level from where a minor upside correction was initiated. At the moment, the price is trading near the 23.6% Fib retracement level of the last downside move from the $707 high to $625 low.
More importantly, there is a major bearish trend line forming with current resistance at $660 on the hourly chart of the BCH/USD pair. The pair has to move above the $660 level to start an upside move in the short term. The next resistance could be the 50% Fib retracement level of the last downside move from the $707 high to $625 low at $696. However, the most important resistance is near the $700 level and the 100 hourly simple moving average. A break and close above the $700 level and the 100 hourly SMA is needed for more gains.
On the downside, the recent low near $625 is tiny support followed by the $600 handle.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is currently showing tiny recovery signs.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is just around the 50 level.
Major Support Level – $625
Major Resistance Level – $700
Charts courtesy – Trading View