HomeAltcoin NewsBitcoin Cash Analysis: Risk of Downside Break Below $170

Bitcoin Cash Analysis: Risk of Downside Break Below $170

-

  • Bitcoin cash price started a fresh decline from the $200 resistance against the US Dollar.
  • The price is now trading below the $180 zone and the 55 simple moving average (4-hours).
  • There is a major bearish trend line forming with resistance near $178 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase).
  • The pair must clear $180 and $190 to start a fresh increase in the near term.

Bitcoin cash price is struggling below $190 against the US Dollar, similar to bitcoin. BCH/USD could start a fresh decline if it stays below $180.

Bitcoin Cash Price Analysis

Bitcoin cash price made a few attempts to gain strength above $200 and $205. However, BCH failed to gain pace and started a fresh decline below the $190 level.

There was a move below the $185 level and the 55 simple moving average (4-hours). The price even traded below the $180 support and formed a low near $170. It is now consolidating losses above the $175 level. An immediate resistance is near the $178 and $180 levels.

There is also a major bearish trend line forming with resistance near $178 on the 4-hours chart of the BCH/USD pair. The trend line is near the 23.6% Fib retracement level of the recent decline from the $210 swing high to $170 low.

On the upside, the next major resistance is near the $190 level. It is near the 50% Fib retracement level of the recent decline from the $210 swing high to $170 low. The main hurdle sits near the $200 level.

A clear break above $190 and $200 might send the price towards the $220 barrier. Any more gains above $220 could set the pace for a larger increase.

An immediate support on the downside is near the $172 zone. The next major support is near the $170 level, below which the bears might gain strength. The next target for them may perhaps be near the $150 level.

Bitcoin Cash Price
Bitcoin Cash Price

Looking at the chart, bitcoin cash price is now trading below the $185 zone and the 55 simple moving average (4-hours). Overall, the price must clear $180 and $190 to start a fresh increase in the near term.

Technical indicators

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

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

Key Support Levels – $172 and $170.

Key Resistance Levels – $190 and $200.

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.

Follow us

0FansLike
0FollowersFollow
0SubscribersSubscribe

Most Popular