Bitcoin Cash Price Analysis: BCH/USD Remains at Risk of More Losses

Key Points

  • Bitcoin cash price failed to move above the $530 resistance zone and declined against the US Dollar.
  • This week’s followed important bearish trend line is intact with resistance at $525 on the hourly chart of the BCH/USD pair (data feed from Kraken).
  • The pair has to move above the $525 and $530 resistance levels to gain traction in the near term.

Bitcoin cash price is showing a few bearish signs below $530 against the US Dollar. BCH/USD could decline further if buyers fail to keep the price above $500.

Bitcoin Cash Price Analysis

Yesterday, we discussed two important resistance levels near $530 and $535 for bitcoin cash price against the US Dollar. The BCH/USD pair failed to break the $530 resistance and remained under pressure. There was also no break above the 50% Fib retracement level of the last slide from the $550 high to $503 low. The price also struggled to gain traction above the 100 hourly simple moving average, which is currently at $526.

The recent swing low was formed at $507 and the price is currently correcting higher. An immediate resistance is near the 61.8% Fib retracement level of the recent drop from the $5528 high to $507 low at $520. Above this, the price is likely to face a strong resistance near the $530 zone. More importantly, this followed important bearish trend line is intact with resistance at $525 on the hourly chart of the BCH/USD pair. Therefore, buyers need to clear the $525 and $530 resistance levels to push the price in a positive zone.

Looking at the chart, BCH price seems to be at a risk of more losses below $500. If sellers push the price below the $503 and $500 support levels, there could be more downsides.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is mostly flat in the bearish zone.

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

Major Support Level – $500

Major Resistance Level – $530

Source