Key Points

  • Bitcoin cash price traded sharply lower and moved below the $2000 support against the US Dollar.
  • There is a major bearish trend line forming with current resistance at $3000 on the 4-hours chart of BCH/USD (data feed from Kraken).
  • The pair might continue to struggle to move above the $3000 level in the near term.

Bitcoin cash price is under pressure and is below $3000 against the US Dollar. BCH/USD may continue to face sellers on upside near $3000 and $3200.

Bitcoin Cash Price Resistance

After a solid upside move above the $3500 level, bitcoin cash price found sellers against the US Dollar. The price traded sharply lower and moved below the $3000 and $2000 support levels. The decline was crucial and the price traded as low as $1772. Later, an upside move was initiated and the price moved above the 23.6% Fib retracement level of the last decline from the $4000 high to $1772 low. However, the price is facing a lot of sellers around the $3000 level.

There is also a major bearish trend line forming with current resistance at $3000 on the 4-hours chart of BCH/USD. The pair is struggling to move above the $3000 level and it might continue to struggle. Moreover, the 61.8% Fib retracement level of the last decline from the $4000 high to $1772 low also acted as a hurdle. Once there is a break above the trend line resistance and the trend line at $3000, the price might recover further in the near term.

Bitcoin Cash Price Weekly Analysis BCH USD

However, any major gains would be tough above $3000 and $3200. On the downside, the $2400 level is also a good support followed by the $2000 level.

Looking at the technical indicators:

4-hours MACD – The MACD for BCH/USD is about to move back in the bullish zone.

4-hours RSI (Relative Strength Index) – The RSI for BTC/USD is now moving lower from the 50 level.

Major Support Level – $2000

Major Resistance Level – $3000

 

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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