Key Points
- Bitcoin cash price is struggling to recover and move back above $445-450 against the US Dollar.
- There is a key bearish trend line in place with resistance at $445 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair could continue to move down as long as it is below the $445 and $450 resistances.
Bitcoin cash price is facing heavy selling interest below $450 against the US Dollar. BCH/USD could accelerate losses if there is a break below $425.
Bitcoin Cash Price Analysis
There was a fresh bearish wave initiated from the $475 pivot level in bitcoin cash price against the US Dollar. The BCH/USD pair declined and broke a key support at $450. There was even a close below the $445 level and the 100 hourly simple moving average. The price recently traded towards the $425 level and is currently recovering higher. It tested the 23.6% Fib retracement level of the last decline from the $508 high to $425 low.
However, upsides were capped by the $445 and $450 resistance levels. There is also a key bearish trend line in place with resistance at $445 on the hourly chart of the BCH/USD pair. Above the trend line, the price is likely to face sellers near the $460 level. Above this, the 50% Fib retracement level of the last decline from the $508 high to $425 low is at $467. As long as the price is below the $450 and $467 resistance levels, there is a risk of more losses. On the downside, a break below the $425 low could open the doors for a push towards the $400 handle.
Looking at the chart, BCH price seems to be trading in a bearish zone below $450. More declines are possible if there is no recovery above $467.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is slightly in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently around the 50 level.
Major Support Level – $425
Major Resistance Level – $450