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Bitcoin Cash Analysis: Decline Could Extend To $110

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  • Bitcoin cash price started a fresh decline from the $142 zone against the US Dollar.
  • The price is now trading below the $135 zone and the 55 simple moving average (4-hours).
  • There was a break below a key bullish trend line with support near $135 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase).
  • The pair could continue to move down if it breaks the $126 and $122 support levels.

Bitcoin cash price is declining from the $142 zone against the US Dollar, similar to bitcoin. BCH/USD could decline heavily if there is a move below $126.

Bitcoin Cash Price Analysis

Bitcoin cash price struggled to gain pace for a move above the $142 and $145 resistance levels. BCH formed a high near $143.12 and started a fresh decline.

There was a clear move below the $138.00 and $135.00 support levels. There was a break below a key bullish trend line with support near $135 on the 4-hours chart of the BCH/USD pair. The pair traded below the 50% Fib retracement level of the upward move from the $116 swing low to $143 high.

The bears even pushed the price below the $130 support and the 55 simple moving average (4-hours). It is now trading near the 61.8% Fib retracement level of the upward move from the $116 swing low to $143 high.

An immediate support on the downside is near the $126 zone. The next major support is near the $122 level, below which the bears might aim $115. The next target for them may perhaps be near the $110 level. An immediate resistance is near the $130 level.

The main resistance sits near the $135 level and the 55 simple moving average (4-hours).  Any more gains above $132 and $135 could set the pace for a move towards the $140 level. If there is a move above the $140 resistance, the price could rise towards the $150 zone.

Bitcoin Cash Price
Bitcoin Cash Price

Looking at the chart, bitcoin cash price is now trading below the $135 zone and the 55 simple moving average (4-hours). Overall, the price could continue to move down if it breaks the $126 and $122 support levels.

Technical indicators

4 hours MACD – The MACD for BCH/USD is gaining pace in the bearish zone.

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

Key Support Levels – $126 and $122.

Key Resistance Levels – $132 and $135.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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