- Bitcoin cash price is currently consolidating and it could decline below $160 against the US Dollar.
- There is a major bearish trend line formed with resistance at $190 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).
- The pair is struggling to break the $190-200 resistance area and it could decline sharply.
Bitcoin cash price is in a downtrend below $200 against the US Dollar. BCH/USD could gain strength once sellers gain pace below $160.
Bitcoin Cash Price Analysis
This past week, there was a solid upside correction from the $150 support area in bitcoin cash price against the US Dollar. The BCH/USD pair formed a low at $146 and climbed above the $160, $180 and $190 resistance levels. There was even a break above the $200 barrier, but buyers failed to hold gains. As a result, there was a fresh decline below $190 and the price remained well below the 100 simple moving average (4-hours).
During the decline, there was a break below the 61.8% Fib retracement level of the last wave from the $146 low to $206 high. The price is currently consolidating above the $160 support and it remains at a risk of more losses. A break below the 76.4% Fib retracement level of the last wave from the $146 low to $206 high is possible. Once there is a close below $160, the price may slide below the $150 support as well. On the upside, there is a major bearish trend line formed with resistance at $190 on the 4-hours chart of the BCH/USD pair.
Looking at the chart, BCH price may break the $190 and $200 resistance levels to climb higher. If not, there is a risk of a downside break below $160.
Looking at the technical indicators:
4-hours MACD – The MACD for BCH/USD is flat in the bearish zone.
4-hours RSI (Relative Strength Index) – The RSI for BTC/USD is currently just above the 40 level.
Major Support Level – $160
Major Resistance Level – $190
Author: Aayush Jindal