Key Points
- Bitcoin cash price failed to recover above the $440 and $450 resistance levels against the US Dollar.
- There is a connecting bearish trend line in place with resistance at $444 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair could decline below $420 if it continues to struggle near the $440-450 zone.
Bitcoin cash price is facing a tough barrier at $450 against the US Dollar. BCH/USD may consolidate between $420-450 before it makes the next move.
Bitcoin Cash Price Analysis
Recently, there was a minor upside correction above the $430 level in bitcoin cash price against the US Dollar. The BCH/USD pair traded above the $440 level as well. Moreover, there was a slight upward move above the 23.6% Fib retracement level of the downward move from the $515 high to $422 low. However, the price failed to gain pace above the $445 and $450 levels.
There was also no proper close above the $440 level as the price struggled near the 100 hourly simple moving average. There is also a connecting bearish trend line in place with resistance at $444 on the hourly chart of the BCH/USD pair. The pair is trading well below the $450 resistance and the 100 hourly SMA, which is a bearish sign. On the downside, the price remains at a risk of a break below $420 and $410. Below these, the price may perhaps test the $400 handle.
Looking at the chart, BCH price seems to be trading in a range above $420. The next break could be either above $450 or below $420 in the near term. Above $450, the price may possibly correct towards the $468 level. It represents the 50% Fib retracement level of the downward move from the $515 high to $422 low.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is slowly moving in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is well below the 40 level.
Major Support Level – $420
Major Resistance Level – $450