- Bitcoin Cash consolidation below the broken long-term trendline support is inevitable.
- Technical levels remains strongly bearish with BCH target set on $200.
Bitcoin Cash’s trend following the crash on Tuesday has remained largely unchanged. The attempts to reverse the trend have not been given space to breath leading to lower corrections. The price action just before the weekend session is still bearish with the sellers targeting $200 support level.
Glancing north, the 38.2% Fibonacci retracement level between the last swing high of $516.90 to a swing low of $75.36 highlights the next significant resistance target marginally below $250. The broken long-term trendline will also limit movement towards $300. The 50-day simple moving average (SMA) is also making the barrier at $300 a hard nut to crack.
According to the full stochastic oscillator and the trend seen with the moving average convergence divergence (MACD), BCH risk of testing the $200 support level is high. However, if the buyers can recover above $250 in the near-term, it would help to avert the impending danger.
BCH/USD daily chart
-637051518119433835.png)
Share
