Bitcoin Cash (BCH) Price Analysis – Despite Recent Gains, Bitcoin Cash Remains Bearish On Near Term

Bitcoin Cash (BCH) Price Analysis – Despite Recent Gains, Bitcoin Cash Remains Bearish On Near Term

Bitcoin cash has seen a substantial increase over the last 24-hours Bitcoin the mid-year bearish bias has remained dominant for the 4th largest cryptocurrency by market cap. If we can see a strong upward progression, BCH may reach $219 in no time. But looking smartphone the long bearish formation, the price may slip below $200.

Bitcoin Cash (BCH) Price Analysis: Daily Chart – Bearish

Key resistance levels: $227, $240, $280
Key support levels: $201, $192, $176

Bitcoin Cash is still trading well inside the six-month descending channel which means that the bears are still taking charge of the market. Last week, the buyers tried to take over the market but the short-term rebound was rejected at $226 before the sellers resuming pressure. More so, yesterday’s sharp surge is still causing panic amongst traders.

BCHUSD, Daily Chart – December 5

However, the last five days decline may continue towards $201, $192 and potentially $176 support, meeting the lower boundary of the channel.

While the RSI found support on the oversold level, the MACD indicator is moving sideways in the oversold zone to signal an indecisive market. Following this bearish signal, BCH may continue to sell until buyers show strong commitment. However, if Bitcoin Cash shows a sign of strength, the key resistance level to watch out for is $227, $240 and $280.

Bitcoin Cash (BCH) Price Analysis: Hourly Chart – Neutral

Bitcoin Cash faced a lot of bearish momentum since the beginning of the month but has been able to recover from the weekly low $203 yesterday. Currently, BCH is priced at $210 as the market brews for a potential breakout. The triangle formation is currently tightening as a surge in volatility lurks around the corner.

BCHUSD, Hourly Chart – December 5

Looking at the technical RSI and MACD indicators, Bitcoin Cash is showing a sign of bullish formation. Surging above the triangle would allow the buyers to revisit, $212 and $219 resistance. From there, Bitcoin Cash is expected to launch a bull-run if the price can stay above the triangle. However, it may roll back to $203 support if a bearish reaction reoccurs.

BCH SELL SIGNAL

Sell Entry: $212
TP: $204
SL: $215

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Author : Michael Fasogbon

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Michael Fasogbon is a professional Forex trader and cryptocurrency technical analyst with over five years of trading experience. Years back, he became passionate about blockchain technology and cryptocurrency through his sister and has since been following the market wave.