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Bitcoin Cash Analysis: Risk of Break Below $300

Date:

  • Bitcoin cash price started a fresh decline from the $344 resistance against the US Dollar.
  • The price is now trading below the $310 zone and the 55 simple moving average (4-hours).
  • There was a break below a key contracting triangle with support near $315 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase).
  • The pair could continue to move down if there is a break below the $300 support in the near term.

Bitcoin cash price is struggling below $310 against the US Dollar, similar to bitcoin. BCH/USD must stay above $3000 to avoid more downsides in the near term.

Bitcoin Cash Price Analysis

Bitcoin cash price attempted an upside break above the $344 and $345 resistance levels. However, BCH struggled near the $345 zone and formed a high near $344.

The price started a fresh decline below the $325 support level. There was a clear move below the $310 support level and the 55 simple moving average (4-hours). Besides, there was a break below a key contracting triangle with support near $315 on the 4-hours chart of the BCH/USD pair.

The pair settled below the 23.6% Fib retracement level of the upward move from the $259 swing low $344 high. It is now consolidating near the $300 support zone.

The 50% Fib retracement level of the upward move from the $259 swing low $344 high is also near $300. The next major support is near the $290 level, below which the bears gain strength. The next target for them may perhaps be near the $260 level.

On the upside, the price is now facing resistance near the $310 resistance and the 55 simple moving average (4-hours). The next major resistance is near the $320 level.

A clear break above $318 and $320 might start a fresh increase. In the stated case, the price could rise towards the $345 resistance zone.

Bitcoin Cash Price

Bitcoin Cash Price

Looking at the chart, bitcoin cash price is now trading below the $310 zone and the 55 simple moving average (4-hours). Overall, the price could continue to recover if there is a clear move above the $300 resistance zone in the near term.

Technical indicators

4 hours MACD – The MACD for BCH/USD is slowly gaining 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 – $300 and $290.

Key Resistance Levels – $310 and $320.

Tags: BCH, Bitcoin Cash

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