Bitcoin Cash Price Technical Analysis – BCH/USD Approaching Support

Key Points

• Bitcoin cash price after trading as high as $467 found sellers against the US Dollar and moved lower.
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• There is a bullish trend line forming with support near $440-430 on the hourly chart of BCH/USD (data feed from Kraken).
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• The price remains supported on dips as long as it stays above the $430 level.
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Bitcoin cash price is correcting lower against the US Dollar. BCH/USD remains in a decent uptrend as long as the pair is above the $430 level.

Bitcoin Cash Price Support

Yesterday, there was a move^[1] close to the $470 level in Bitcoin cash price against the US Dollar. The price traded as high as $467 from where it started a downside correction. It has moved down a bit and already broke the 23.6% Fib retracement level of the last wave from the $414 low to $467 high. However, there are many support levels on the downside such as $440 waiting to stop losses in the near term.

The pair already tested once the 50% Fib retracement level of the last wave from the $414 low to $467 high and found support. Moreover, there is a bullish trend line forming with support near $440-430 on the hourly chart of BCH/USD. The trend line support near $430 is very important^[2] for the current wave. Only a break and close below $430 could ignite further losses and take the price towards $400.

If buyers manage to contain losses below $430, there is a chance of BTC recovering once again. On the upside, an initial resistance sits at $455, followed by the recent high of $467. One might consider buying dips towards $430 in the short term.

Looking at the technical indicators:

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

Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is about to the reach the oversold levels.

Major Support Level – $430

Major Resistance Level – $455

Charts courtesy – Trading View, Kraken^[3]

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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