Bitcoin Cash Price Technical Analysis – BCH/USD Settles Below $1400

Key Points

  • Bitcoin cash price is under pressure and it recently traded below the $1240 support against the US Dollar.
  • There are two bearish trend lines forming with resistance near $1350 and $1480 on the hourly chart of BCH/USD (data feed from Kraken).
  • The price is currently struggling to recover above the $1350 level and upsides remain capped.

Bitcoin cash price declined further towards $1200 against the US Dollar. BCH/USD is likely to struggle further with resistances near $1360 and $1400.

Bitcoin Cash Price Hurdles

There was no recovery in bitcoin cash price as it declined further towards $1200 against the US Dollar. The price failed to hold yesterday’s low near $1280. It traded below the $1250 and $1240 support levels and traded close to the $1200 handle. A low was formed near $1203 before a minor correction wave was initiated. There was a move above the 23.6% Fib retracement level of the last drop from the $1605 high to $1203 low.

However, the upside move found resistance near $1360. There are two bearish trend lines forming with resistance near $1350 and $1480 on the hourly chart of BCH/USD. The first trend line coincides with the 38.2% Fib retracement level of the last drop from the $1605 high to $1203 low. Therefore, the $1350-1360 levels are important for the current correction. Above $1360, the price might attempt a test of the $1400 level.

The 38.2% Fib retracement level of the last drop from the $1605 high to $1203 low is near $1406 to act as a hurdle. On the downside, the $1200 support zone holds a lot of importance. BCH must stay above it to avoid declines toward $1050.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is slightly in the bullish zone as per the correction.

Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is still below the 50 level.

Major Support Level – $1200

Major Resistance Level – $1360

 

Charts courtesy – Trading View, Kraken

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

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