Bitcoin Cash Price Analysis: BCH/USD Testing Crucial Resistance

technical analysis bitcoin cash

Key Points

Bitcoin cash price extended declines below $700 against the US Dollar. BCH/USD is currently correcting higher, but it is facing hurdles near $760.

Bitcoin Cash Price Resistance

There was an increase in selling pressure below $800 on bitcoin cash price against the US Dollar. The BCH/USD pair extended declines below the $750 and $700 levels. It traded towards the $650 level and formed a low at $664. Later, the price started an upside correction and moved above the $700 level. However, the price is still way below the $800 handle and the 100 hourly simple moving average.

The price moved above the 23.6% Fib retracement level of the last decline from the $905 high to $664 low. However, there are many hurdles for buyers near the $750-770 zone. More importantly, there is a major bearish trend line in place with resistance at $765 on the hourly chart of the BCH/USD pair. Additionally, the 50% Fib retracement level of the last decline from the $905 high to $664 low is near the $785 level. Therefore, the price has to surpass the $750, $770 and $785 resistance levels to overcome sellers near $800.

Looking at the chart, the price is struggling to move further higher above $770. As long as the price is below the $800 handle, there is a risk of more losses below $700 in the near term.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is slightly placed in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BCH/USD is now well above the 50 level.

Major Support Level – $700

Major Resistance Level – $770

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