Bitcoin Cash (BCH) Price Analysis – October 11
Since the beginning of the month, the price of Bitcoin Cash has been stuck in a consolidation circle as a result of late September massive sell, although the market has been bullish on the lower time frame. On October 9, BCH price touched $241 and has now dropped to $227 following the last 24-hours loss of -2.88%. To see a decent price movement, BCH needs to move out of its current consolidation circle as bearish continuation is more likely to continue.
Bitcoin Cash (BCH) Price Analysis: Daily Chart – Neutral
Key resistance levels: $241, $251, $266, $280
Key support levels: $219, $204, $188, $173
Since BCH broke-out of the triangle formation in late September, the market has been subdued with choppy price actions due to the ongoing indecisiveness on the daily chart. Meanwhile, trading volatility has been low over the past few days. If the buyers push price up, we can expect close resistance at $241 and $250. Above this resistance lies $268 and $280.
Considering the last 24-hours price drop, BCH may slip back to $219 and $204 support before creating a new low $188 and $173. As we can see, the RSI is now showing recovery but may likely face resistance at the mid-band. Now, the crypto trading signals an overbought market on the Stochastic RSI – the price is likely to fall if the price drops under the 80 level.
Bitcoin Cash (BCH) Price Analysis: 4H Chart – Bullish
Bitcoin Cash is shaping in an ascending channel on the 4-hour chart, presenting a bullish formation. After making a double-top formation at around $241 resistance, the price is currently falling towards the channel’s support at $222. Once the price tests the mentioned support, a sharp bounce off is likely to occur.
Looking at the RSI, the BCH market is shooting in a downward direction to signal the ongoing selling pressure in the market. It may become heavy if the market drives beneath the channel, testing $216 and $208 support. However, the crypto trading signals a potential buy on the Stochastic RSI as a positive climb may allow buying pressure to $232, $241 and above. As of now, BCH is bullish on a short-term.
BCH SELL SIGNAL
Sell Entry: $229
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.