Bitcoin cash price declined significantly after it broke the $380.00 and $330.00 support levels. BCH even tumbled below the $300.00 support before the bulls protected $250.00.
- Bitcoin cash fell sharply below the $300.00 handle and traded to a new monthly low at $256.79.
- BCH could struggle to recover above $305.00 and a bearish trend line on the 2-hours chart.
- The price could resume its slide as long as it is trading below the $305.00 and $330.00 resistances.
Bitcoin Cash Price Analysis (BCH to USD)
In the past few sessions, there was a significant decline in bitcoin price and the crypto market cap. BTC broke the $10,500 support, dragging major altcoins (BCH, Ethereum, ripple, EOS and BNB) below key supports. BCH price tumbled below the $300.00 handle and traded to a new monthly low at $256.79.
Click to Enlarge Chart
Looking at the 2-hour chart of BCH/USD, the pair trimmed most its gains and is down more than 30% from the recent swing high near $400.00. A swing low was formed at $256.79 and the price is currently correcting higher.
It recovered above the $280.00 level plus the 23.6% Fib retracement level of the recent drop from the $351.21 high to $256.79 low. However, the price is still trading well below the $300.00 resistance and the 25 simple moving average (2-hours).
An immediate resistance above $300.00 is near the $305.00 level. It represents the 50% Fib retracement level of the recent drop from the $351.21 high to $256.79 low.
Moreover, there is a key bearish trend line forming with current resistance near $315.00 on the same chart. The main resistance is near the $330.00 level, above which bitcoin cash price may perhaps start a decent upward move towards the $380.00 resistance.
If there is no upside break above $315.00 or $330.00, the price is likely to slide again. An immediate support is near the $280.00 level, below which the price is likely to revisit the $256.00 swing low. The main support is near the $250.00 level, below which BCH price might slide towards the $220.00 support in the near term.
The market data is provided by TradingView, Coinbase.
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