Bitcoin Cash Price Technical Analysis – BCH/USD Poised for Declines

Key Points

  • Bitcoin cash price remained in the bearish zone below the $310 level against the US Dollar.
  • Yesterday’s highlighted crucial descending channel pattern with current resistance at $311 on the hourly chart of BCH/USD (data feed from Kraken) is intact.
  • The price may continue to decline and might fail on rallies towards $310-320.

Bitcoin cash price was not able to recover against the US Dollar above $320. BCH/USD remains in the bearish zone and poised for more declines towards $280.

Bitcoin Cash Price Declining Pattern

There was no major recovery in Bitcoin cash price, as it remained capped by the $310-320 levels against the US Dollar. There was once a correction towards the $307 level, but buyers failed to take the price further higher. It seems like BCH struggle to trade higher continues with resistance near $310 and $320. BTC/USD surge could be the main reason why BCH is struggling to recover.

Looking at the technical side, yesterday’s highlighted crucial descending channel pattern with current resistance at $311 on the hourly chart of BCH/USD continues to act as a hurdle. Recently, the price traded towards the 50% Fib retracement level of the last decline from the $331.00 high to $292.80 low. However, it failed to gain momentum to break the $310 resistance zone.

Bitcoin Cash Price Technical Analysis BCH USD

The channel resistance near $310-311 is now aligned with the 100 hourly simple moving average. So, the mentioned $311 resistance may continue to act as a sell zone. On the downside, an initial support is at $292. Below $292, the price could trade towards $280. The most important support sits at $275, which can be seen as a monthly pivot.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is almost flat and suggesting no major movement.

Hourly RSI (Relative Strength Index) – The RSI is heading lower towards the 30 level.

Major Support Level – $275

Major Resistance Level – $311

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.

Source: Newsbtc