Friday, January 18, 2019

Bitcoin Cash (BCH) Near Crucial Juncture, Can Buyers Gain Momentum?

  • Bitcoin cash price extended declines recently and broke the $140 support level against the US Dollar.
  • There is a crucial bearish trend line in place with resistance at $135 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).
  • The pair is positioned for the next major move either above $135 or below $120 in the near term.

Bitcoin cash price traded below the $150 and $140 supports against the US Dollar. BCH is now looking for the next key break either above $135-140 or towards $100 in the near term.

Bitcoin Cash Price Analysis

Recently, bitcoin and Ethereum faced an increased selling pressure, which dragged bitcoin cash price below $140 against the US Dollar. The BCH/USD pair formed a high near the $163 level and later declined steadily below $150. It broke the $140 and $135 support levels to move into a bearish zone. The price tested the $120 support, where buyers emerged and protected losses. A low was formed near $120.5 and later the price started consolidating losses. It corrected a few points above the $125 and $127 levels.

There was also a break above the 23.6% Fib retracement level of the recent decline from the $163 high to $120 low. However, buyers failed to hold gains above $130 and there was no test of the 55 simple moving average (4-hours). The price trimmed gains and it is currently trading well below $130. More importantly, there is a crucial bearish trend line in place with resistance at $135 on the 4-hours chart of the BCH/USD pair. A proper break above the trend line could open the doors for more gains. The next key resistance is $140 and the 50% Fib retracement level of the recent decline from the $163 high to $120 low.

Bitcoin Cash Price Analysis BCH Chart

Looking at the chart, bitcoin cash price is clearly positioned for the next major move either above $135 or below $120. If there is a downside break below $120, the price may test the $100 support.

Technical indicators

4-hours MACD – The MACD for BCH/USD is currently flat in the bearish zone.

4-hours RSI (Relative Strength Index) – The RSI for BCH/USD is struggling to move above the 50 level.

Key Support Level – $130

Key Resistance Level – $120

The post Bitcoin Cash (BCH) Near Crucial Juncture, Can Buyers Gain Momentum? appeared first on Live Bitcoin News.



Bitcoin Cash (BCH) Near Crucial Juncture, Can Buyers Gain Momentum?

Cryptocurrency is a digital currency that uses encryption (cryptography) to regulate the generation of currency and verify the transfer of funds, independently of a central bank. Cryptography is the practice and study of techniques for secure communication in the presence of third party adversaries.


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