Bitcoin Cash Price Technical Analysis – BCH/USD Extends Decline

Key Points

• Bitcoin cash price failed to move above the $360 level against the US Dollar and moved down.
• There is a new connecting bearish trend line with resistance near $320 forming on the hourly chart of BCH/USD (data feed from Kraken).
• The price might extend the decline and could even trade towards the $275 support zone.

Bitcoin cash price is struggling to gain pace against the US Dollar. BCH/USD faces hurdles on the upside and might decline towards $280-275.

Bitcoin Cash Price Decline

There was no increase in buying interest for Bitcoin cash price, and it failed to move above $360 against the US Dollar. The price is attempted an upside break, but failed and started declining with a break below $340. The downside move was such that the price broke the $320 support and the 100 hourly simple moving average. It recently traded close to the $300 level and formed an intraday low of $299.02.

On the upside, there is a new connecting bearish trend line with resistance near $320 forming on the hourly chart of BCH/USD. Below the trend line, the 100 hourly simple moving average is positioned along with the $320 resistance. Moreover, the 23.6% Fib retracement level of the last decline from the $390 high to $300 low is also near the trend line resistance. Therefore, it won’t be easy for BCH buyers to take the price above $320.

On the downside, the price is likely to test $280-275 if it fails to move above $320. A break and close above $320 would result in further gains may be towards the $340 zone or even $350.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is losing grip and might move down further in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI is currently well below the 50 level.

Major Support Level – $300

Major Resistance Level – $320

 

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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