Key Points
- Bitcoin cash price declined further and broke the 0 and 0 support levels against the US Dollar.
- Yesterday’s highlighted contracting triangle with support at 6 was breached on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair is following a bearish path and it could continue to move down towards 0 and 0.
Bitcoin cash price is under pressure below 0 against the US Dollar. BCH/USD could decline further towards the next major support at 0.
Bitcoin Cash Price Analysis
Yesterday, there was a short-term bearish reaction from the 0 swing high in bitcoin cash price against the US Dollar. The BCH/USD pair started a downside correction and declined below the 0 support. It opened the doors for more losses and the price cleared the 0 and 0 support levels. Moreover, there was a close below the 0 level and the 100 hourly simple moving average.
The price declined below the 50% Fib retracement level of the last wave from the 7 low to 0 high. More importantly, yesterday’s highlighted contracting triangle with support at 6 was breached on the hourly chart of the BCH/USD pair. Therefore, there are chances of more downsides in the short term towards 0 and 0. An intermediate support is the 61.8% Fib retracement level of the last wave from the 7 low to 0 high at 7. The most important support on the downside is near the 0 level, which was a resistance earlier.
Looking at the chart, BCH price is placed below a bearish trend line with resistance at 0 on the same chart. A proper bounce and break above 0 and 0 is needed for a recovery. On the upside, the main resistance is at 0.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is now placed in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is now well below the 50 level.
Major Support Level – 0
Major Resistance Level – 0
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