BCH Stalemate at $330 Amid Market Indecision


  • Diminishing buying power stalled at $514.90 leaving $520 untested.
  • The bears have remained largely in control limiting massive retracement north.

Bitcoin Cash daily chart portrays a bearish picture in the near-term. This follows the formation of a bearish flag pattern. The incredible surge from April cemented the position of the price above the 50-Day Moving Average. This allowed the bulls to increase their entry position confident that Bitcoin Cash was ready to scale the levels.

BCH/USD daily chart

BCH price
BCH/USD chart by Tradingview

The price initially broke above the resistance at $240 and $300 respectively, before pushing BCH past the next hurdles at $320 and $400. The massive rally did not stop here as the price stepped above $440, 480 and $500 barriers. Continued bull momentum sent BCH/USD above $500. However, diminishing buying power stalled at $514.90 leaving $520 untested.

Unfortunately, this signaled the bears who had been at the mercy of the buyers for more than three months. A correction began towards the end of June. The declines pressed Bitcoin Cash under the 50-Day Moving Average as well as the 100-Day Moving Average.

The breakdown saw the price dive below $400 tentative support. Re-energized bears had field day with Bitcoin Cash sending it under $300. The next support target at $280 did little to stop the declines. However, a low formed at $255 mid-July gave way for recovery.

The shallow recovery within a bearish flag pattern stepped above $300 and reclaimed the support at $340 at some point. Nonetheless, the bears have remained largely in control limiting massive retracement north.

At press time, Bitcoin Cash is trading at $330. The upside is capped by the 50-day Moving Average. At the same time, a short-term support target is at $320. The stalemate due to the market indecision means that sideways trading is expected between $340 resistance and $320 support. Reaction to the bearish flag pattern could result in the price testing $300 support, Correction past $280 could see the primary support at $255 refreshed.

BCH Key Technical Picture:

MACD: Bullish divergence suggests an impending upward correction.

Bearish flag pattern: Hints breakdown to $300 and $280 support areas.

Trend: Sideways between $320 and $340 range.

Summary

Bitcoin Cash Price Analysis: BCH Stalemate at $330 Amid Market Indecision

Article Name

Bitcoin Cash Price Analysis: BCH Stalemate at $330 Amid Market Indecision

Description

Diminishing buying power stalled at $514.90 leaving $520 untested.
The bears have remained largely in control limiting massive retracement north.

Author

John isige

Publisher Name

Coingape

Publisher Logo

Disclaimer
The presented content may include the personal opinion of
the author and is subject to market condition.
Do your market research before investing in cryptocurrencies.
The author or the publication does not hold any responsibility
for your personal financial loss.



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