Key Points
- Bitcoin cash price was not able to move above the $1,280 and $1,290 resistance levels against the US Dollar.
- There is a key bullish trend line forming with support at $1,225 on the hourly chart of BCH/USD (data feed from SimpleFX).
- The pair could break the trend line support and $1,220 and may decline further in the near term.
Bitcoin cash price failed to move above $1,290 against the US Dollar. BCH/USD is currently moving lower and is testing a major support area near $1,220.
Bitcoin Cash Price Support
There was a decent upside move towards $1,280 and $1,290 yesterday in bitcoin cash price against the US Dollar. The price traded as high as $1,281 and it later faced sellers. It failed to move further higher and started a downside move below $1,270. It declined below the $1,250 support level and even settled below the 100 hourly simple moving average.
These are negative signs and it means that the price was rejected from the $1,280 level. At the moment, there is a key bullish trend line forming with support at $1,225 on the hourly chart of BCH/USD. The pair is testing the trend line support and is struggling to remain above $1,225. A break and close below the trend line could push the price towards the $1,200 level. On the upside, an initial resistance is around the 23.6% Fib retracement level of the last decline from the $1,281 high to $1,221 low.
However, the most important resistance is near $1,250. The stated $1,250 also coincides with the 50% Fib retracement level of the last decline from the $1,281 high to $1,221 low. Overall, the price remains at a risk of more declines below the $1,225 support.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD has moved back in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently near the 30 level.
Major Support Level – $1,225
Major Resistance Level – $1,250
Charts courtesy – SimpleFX
