- Bitcoin cash price was under a lot of pressure and recently broke the $360 support against the US Dollar.
- There is a key bearish trend line forming with resistance near $350 on the hourly chart of BCH/USD (data feed from Kraken) are intact.
- The price might continue to decline and it would even test the $300 handle in the near term.
Bitcoin cash price is struggling below $400 against the US Dollar. BCH/USD is likely to extend declines towards the $300 level.
Bitcoin Cash Price Bearish Wave
There was a minor recovery in Bitcoin cash price from the $345 low against the US Dollar. However, the price failed to gain traction and found offers near $370-380. A new downside wave was initiated and the price broke the $345 support area. A new low was formed at $335.4 from where the price started a correction. An initial resistance on the upside is near the 23.6% Fib retracement level of the last decline from the $364 high to $335 low.
Above the $345 resistance, the price is likely to face strong sell wall near $350. There is a key bearish trend line forming with resistance near $350 on the hourly chart of BCH/USD. Moreover, the 50% Fib retracement level of the last decline from the $364 high to $335 low is close to the $350 level. Overall, it seems like the $350 level is a major resistance for BCH buyers in the short term.
It won’t be easy for buyers to clear $350. Therefore, selling rallies close to the $350 level can be considered with a stop above the $365 level.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is placed well into the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently in the oversold region.
Major Support Level – $340
Major Resistance Level – $370
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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