Key Points
- Bitcoin cash price failed to recover above 0 and declined recently against the US Dollar.
- There is a crucial bearish trend line formed with resistance at 5 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair is likely to remain in a bearish zone and it could slide towards the 0 support.
Bitcoin cash price is under pressure below 0 against the US Dollar. BCH/USD could accelerate losses towards the 0 and 0 support levels.
Bitcoin Cash Price Analysis
There was a slow and steady decline initiated from well above 0 in bitcoin cash price against the US Dollar. The BCH/USD pair broke the 0 and 0 support levels to move into a bearish zone. The decline was such that there was a close below the 0 support and the 100 hourly simple moving average. The price recently traded below the 1 low and formed a new low at 0.
Later, there was a minor upside correction above 0. The price traded above the 23.6% Fib retracement level of the recent decline from the 1 high to 0 low. However, the price struggled to move above the 5-530 resistance. There is also a crucial bearish trend line formed with resistance at 5 on the hourly chart of the BCH/USD pair. Above the trend line, the 50% Fib retracement level of the recent decline from the 1 high to 0 low is a major hurdle near the 6 level. Therefore, a proper close above the 5 and 0 levels is required for a decent recovery.
Looking at the chart, BCH price is clearly at a risk of more slides towards the 0 support as long as it is below 0 and 0.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is mostly placed in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently well below the 50 level with a bearish angle.
Major Support Level – 0
Major Resistance Level – 0
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