Key Points
- Bitcoin cash price found support near the 0 level and later recovered against the US Dollar.
- There is a key bearish trend line formed with resistance at 0 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).
- The pair is likely to face a lot of selling interest near the 0 and 0 levels in the near term.
Bitcoin cash price is under pressure below 0 against the US Dollar. BCH/USD remains sell on rallies near the 0 and 0 levels.
Bitcoin Cash Price Analysis
This past week, we saw a major downside move below the 0 and 0 supports in bitcoin cash price against the US Dollar. The BCH/USD pair declined heavily and broke the 0 support. There was also a close below the 0 level and the 100 simple moving average (4-hours). It traded close to the 0-410 support area and formed a low at 1. Later, the price started an upside correction and moved above the 0 level.
At present, the price is testing the 23.6% Fib retracement level of the last decline from the 1 high to 1 low. If there is a break above the 0 and 5 resistance levels, the price may climb towards the next important hurdle at 0-475. There is also a key bearish trend line formed with resistance at 0 on the 4-hours chart of the BCH/USD pair. Moreover, the 50% Fib retracement level of the last decline from the 1 high to 1 low is also positioned near the 6 level. Therefore, sellers are likely to appear near 0-475 if the price continues to climb higher.
Looking at the chart, BCH price may perhaps hold the 0 support area for some time and it could correct towards 0-475.
Looking at the technical indicators:
4-hours MACD – The MACD for BCH/USD is slightly in the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI for BTC/USD is recovering above the 30 level.
Major Support Level – 0
Major Resistance Level – 0
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