Bitcoin Cash Price Technical Analysis – BCH/USD Forming Bearish Structure

Key Points

• Bitcoin cash price failed to move above the $750 level against the US Dollar and started a downside move.
• There was a break below yesterday’s highlighted bullish trend line with support at $670 on the hourly chart of BCH/USD (data feed from Kraken).
• The price is now trading below the $680 resistance and the 100 hourly simple moving average.

Bitcoin cash price failed to settle above $750 against the US Dollar. BCH/USD has now moved into the bearish zone for more losses.

Bitcoin Cash Price Resistance

Earlier this week, we saw a rise in Bitcoin cash price towards the $750 level against the US Dollar. The price gained pace and traded as high as $748.09 where it faced sellers. It failed to move past $750 and started a downside move. The failure was around the 50% Fib retracement level of the last decline from the $943 high to $540 low. It is a sign that the price completed a wave near $750 and currently in a bearish wave.

During the downside move, there was a break below yesterday’s highlighted bullish trend line with support at $670 on the hourly chart of BCH/USD. The price also moved below the $680 support and the 100 hourly simple moving average. These are bearish signs and could push the pair towards $600. It is also below the 50% Fib retracement level of the last wave from the $540 low to $748 high. It means the price could even break the $600 support if sellers remain in control.

If buyers have to take back control, they have to clear the $680 resistance and the 100 hourly simple moving average.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is currently in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI is moving higher from the 40 level.

Major Support Level – $600

Major Resistance Level – $680

 

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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