Key Points
- Bitcoin cash price failed to move above the $775 resistance and declined against the US Dollar.
- This week’s highlighted key bearish trend line played well with resistance at $720 on the hourly chart of the BCH/USD pair (data feed from Kraken).
- The pair is moving lower and it seems like it could revisit the last swing low of $665.
Bitcoin cash price is back in a downtrend below $720 against the US Dollar. BCH/USD is likely to accelerate declines back towards the $665 and $650 levels.
Bitcoin Cash Price Decline
Yesterday, we saw a failure near the $775 resistance in bitcoin cash price against the US Dollar. The BCH/USD pair started a fresh downside wave and broke the $750 and $720 support levels. There was even a close below the $750 pivot level and the 100 hourly simple moving average. It seems like the price failed to break the 50% Fib retracement level of the last decline from the $905 high to $664 low.
It opened the doors for a new bearish wave and the price tumbled below $700. It even surpassed the 50% Fib retracement level of the last leg from the $665 low to $779 high. More importantly, this week’s highlighted key bearish trend line played well with resistance at $720 on the hourly chart of the BCH/USD pair. The pair is currently trading just below the $700 level with a bearish angle. If the 76.4% Fib retracement level of the last leg from the $665 low to $779 high fails to hold declines, there could be more losses towards the last swing low of $665.
Looking at the chart, the price is back in a downtrend below $720, above which there are chances of an upside recovery.
Looking at the technical indicators:
Hourly MACD – The MACD for BCH/USD is back in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is currently near the 30 level.
Major Support Level – $665
Major Resistance Level – $720
