Key Points

  • Bitcoin cash price declined further and moved below the $1450 support area against the US Dollar.
  • There is a new connecting bearish trend line forming with resistance near $1475 on the hourly chart of BCH/USD (data feed from Kraken).
  • The price might correct a few points in the near term, but upsides are likely to be capped by $1450-1480.

Bitcoin cash price is under pressure below $1500 against the US Dollar. BCH/USD might continue to decline as long as the price is below $1500.

Bitcoin Cash Price Resistance

As we discussed yesterday, there were further declines in bitcoin cash price below $1460-1450 against the US Dollar. The price declined below the $1400 handle as well to test the $1300-1280 support area. A low was formed at $1280.8 from where the price started an upside correction. It has moved above the 23.6% Fib retracement level of the last decline from the $1610 high to $1280 low.

However, any further gains are likely to be capped by resistances such as $1450, $1475 and $1500 in the near term. An immediate resistance is around the 50% Fib retracement level of the last decline from the $1610 high to $1280 low at $1445. Above $1445, the $1450 level and a new connecting bearish trend line with resistance near $1475 on the hourly chart of BCH/USD are likely to prevent upsides. Moreover, the 61.8% Fib retracement level of the last decline from the $1610 high to $1280 low is around $1484 to act as a major hurdle.

Bitcoin Cash Price Technical Analysis BCH USD

Therefore, it seems like there are many resistances on the upside toward $1500. As long as the price is below the $1500 level, it remains in the bearish zone.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD has gained strength in the bearish zone.

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

Major Support Level – $1280

Major Resistance Level – $1475

 

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.

LEAVE A REPLY

Please enter your comment!
Please enter your name here