Bitcoin cash price declined heavily and broke the key 5 and 0 support levels against the US Dollar.The price tested the 0 support area and it is currently consolidating losses.There was a break below a crucial bullish trend line with support near 0 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).The pair could correct higher, but the 0 and 0 levels are likely to prevent gains.Bitcoin cash price is trading in a larger downtrend below 0 against the US Dollar. If BCH/USD breaks the 0 support, it could continue to slide towards 0.Bitcoin Cash Price AnalysisIn the past three days, bitcoin cash price declined heavily from well above the 0 level against the US Dollar. The BCH/USD pair topped just above the 0 level before starting a sharp decline.
Topics:
Aayush Jindal considers the following as important: Altcoin News, bch, Bitcoin Cash, News, Trading
This could be interesting, too:
Chimamanda U. Martha writes OSL Strengthens Partnership with Solomon JFZ Ahead of Hong Kong ETF Launch
Temitope Olatunji writes Japanese Metaplanet’s Purchase of Bitcoin Worth .25M Signals Growing Corporate Adoption
Godfrey Benjamin writes Here Are 3 Major Recent Cardano (ADA) Upgrades to Know
Steve Muchoki writes BNY Mellon Invests in Spot Bitcoin ETFs from BlackRock and Grayscale
- Bitcoin cash price declined heavily and broke the key $285 and $270 support levels against the US Dollar.
- The price tested the $200 support area and it is currently consolidating losses.
- There was a break below a crucial bullish trend line with support near $310 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).
- The pair could correct higher, but the $230 and $240 levels are likely to prevent gains.
Bitcoin cash price is trading in a larger downtrend below $250 against the US Dollar. If BCH/USD breaks the $200 support, it could continue to slide towards $150.
Bitcoin Cash Price Analysis
In the past three days, bitcoin cash price declined heavily from well above the $300 level against the US Dollar. The BCH/USD pair topped just above the $330 level before starting a sharp decline. It broke the key $310 and $300 support levels to enter a bearish zone. Moreover, there was a break below a crucial bullish trend line with support near $310 on the 4-hours chart of the BCH/USD pair.
The pair tumbled below the $285 and $270 support levels. Moreover, there was a close below the $250 level and the 55 simple moving average (4-hours). Finally, the price tested the $200 support area and a low was formed near $199. At the moment, the price is correcting higher and is trading above the $210 level. An immediate resistance is near the $220 level and a declining channel on the same chart.
Moreover, the 23.6% Fib retracement level of the recent slide from the $333 high to $199 low is near $230 to stop the upward move. If there is an upside break above $230, the price could recover towards the $240 or $250 resistance. The next key resistance is near the $265 and $270 levels. Additionally, the 50% Fib retracement level of the recent slide from the $333 high to $199 low is at $266.
Therefore, the price is likely to face many hurdles if it breaks the $230 resistance. On the downside, an initial support is near $210. The main support is near the $200 level, below which there is a risk of more downsides towards the $180 level.
Looking at the chart, bitcoin cash price is clearly trading in a bearish zone below $250 and $230. In the short term, there could be an upside correction, but the larger trend is down towards $200 and $180.
Technical indicators
4 hours MACD – The MACD for BCH/USD is losing momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for BCH/USD is correcting higher towards the 40 level.
Key Support Levels – $210 and $200.
Key Resistance Levels – $230 and $250.