Key Points
- Bitcoin cash price failed to recover above the 0 and 0 resistance levels against the US Dollar.
- There is a connecting bearish trend line in place with resistance at 4 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair could decline below 0 if it continues to struggle near the 0-450 zone.
Bitcoin cash price is facing a tough barrier at 0 against the US Dollar. BCH/USD may consolidate between 0-450 before it makes the next move.
Bitcoin Cash Price Analysis
Recently, there was a minor upside correction above the 0 level in bitcoin cash price against the US Dollar. The BCH/USD pair traded above the 0 level as well. Moreover, there was a slight upward move above the 23.6% Fib retracement level of the downward move from the 5 high to 2 low. However, the price failed to gain pace above the 5 and 0 levels.
There was also no proper close above the 0 level as the price struggled near the 100 hourly simple moving average. There is also a connecting bearish trend line in place with resistance at 4 on the hourly chart of the BCH/USD pair. The pair is trading well below the 0 resistance and the 100 hourly SMA, which is a bearish sign. On the downside, the price remains at a risk of a break below 0 and 0. Below these, the price may perhaps test the 0 handle.
Looking at the chart, BCH price seems to be trading in a range above 0. The next break could be either above 0 or below 0 in the near term. Above 0, the price may possibly correct towards the 8 level. It represents the 50% Fib retracement level of the downward move from the 5 high to 2 low.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is slowly moving in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is well below the 40 level.
Major Support Level – 0
Major Resistance Level – 0
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