- Bitcoin Cash staged a recovery from the recent $217 lows but stalled at $250.
- The RSI momentum suggests that bears will have the last laugh as BCH dives under $200 major support level.
Bitcoin Cash tried and failed to smash through the key resistance at $250. The zone is highlighted by the 50% Fib resistance level taken between the last swing high of $270 to ma swing low of $217. The rejection at $250 is forcing BCH into lower levels between $230 and $220. Other than the Fib level, the trendline, the 50 SMA and the 100 SMA on the 1-hour chart are also forcing Bitcoin Cash into critical support zones.
The price is doddering at $226 and is aiming for the support at $200 if $220 fails to hold. The Moving Average Convergence Divergence, however, displays a positive picture for BCH. The bullish cross signals higher buying influence. The MACD’s slope upwards is also reminiscent of the correction from the recent low at $217.
On the other hand, the Relative Strength Index displays a different picture having been rejected at 50 and grinding towards 30. If the gradual slope downwards continues, Bitcoin Cash is likely to revisit not only the recent low but also the major support between $220 and $197.