HomeAltcoin NewsBitcoin Cash Analysis: Risk of More Losses Below $230

Bitcoin Cash Analysis: Risk of More Losses Below $230

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  • Bitcoin cash price started a fresh decline from the $300 zone against the US Dollar.
  • The price is now trading below the $255 zone and the 55 simple moving average (4 hours).
  • There was a break below a key bullish trend line with support at $255 on the 4-hour chart of the BCH/USD pair (data feed from Coinbase).
  • The pair could continue to move down if it stays below the $255 resistance zone.

Bitcoin cash price is struggling below the $250 zone against the US Dollar, like Bitcoin. BCH/USD could restart its decline if it fails near $248 or $255.

Bitcoin Cash Price Analysis

Bitcoin cash price struggled to continue higher above the $300 resistance zone. BCH formed a short-term top near $298 before it started a fresh decline. There was a drop below the $265 and $255 support levels.

There was a break below a key bullish trend line with support at $255 on the 4-hour chart of the BCH/USD pair. It even declined below the $240 support level. The price tested the $235 support. A low is formed near the $233.01 level and the price is now consolidating losses.

Bitcoin cash is now trading below the $255 zone and the 55 simple moving average (4 hours). If there is a fresh increase, it could face resistance near the $248 level. It is close to the 23.6% Fib retracement level of the downward move from the $298 swing high to the $233 low.

The first major resistance is near the $255 level. Any more gains above $255 could set the pace for a move toward the $265 level. It is near the 50% Fib retracement level of the downward move from the $298 swing high to the $233 low.

If there is a move above the $265 resistance, the price could rise toward the $280 zone. If not, the price might continue lower below $233. Immediate support on the downside is near the $222 zone. The next major support is near the $215 level, below which the bears might aim for $202 or even $200.

Bitcoin Cash Price
Bitcoin Cash Price

Looking at the chart, Bitcoin cash price is now trading below the $255 zone and the 55 simple moving average (4 hours). Overall, the price could start a fresh decline if it stays below the $255 resistance zone.

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 – $233 and $222.

Key Resistance Levels – $248 and $255.

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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