- Bitcoin cash price failed to remain above the $500 level against the US Dollar, and traded below $450.
- There are two bearish trend lines forming with resistance at $450 on the 4-hours chart of BCH/USD (data feed from Kraken).
- The pair needs to break the $450 level in order to gain traction towards $500 and higher.
Bitcoin cash price is struggling to remain above $500 against the US Dollar. BCH/USD is correcting lower with resistance on the upside at $450.
Bitcoin Cash Price Resistance
There was a slow and steady recovery from the $400 level in BCH price against the US Dollar. The price traded above the $500 level and tested the $550 resistance zone. However, buyers failed to keep the price above $500 and as a result, there was a downside break. The price moved below the 38.2% Fib retracement level of the last wave from the $302.00 low to $549.8 high.
Sellers were in control and they managed to push the price below $420. There was a test of the 61.8% Fib retracement level of the last wave from the $302.00 low to $549.8 high. Later, buyers appeared and started a recovery above $420. However, the upside seems to be capped by the $470 level. At the moment, there are two bearish trend lines forming with resistance at $450 on the 4-hours chart of BCH/USD. Therefore, a close above the $450 resistance is must for more gains.
If the price continue to struggle, it could retest $400. A break of $400 might push the price back towards $360. On the upside, a break above $450 is needed for gains above $500 in the near term.
Looking at the technical indicators:
4-hours MACD – The MACD for BCH/USD is now in the bearish zone.
4-hours RSI (Relative Strength Index) – The RSI for BTC/USD is well below the 50 level.
Major Support Level – $400
Major Resistance Level – $450
Charts courtesy – Trading View, Kraken