Bitcoin Cash market update: BCH/USD rejected at $440 again; will $400 support hold?
|- Bitcoin Cash struggles to stay above $400 amid a building bearish momentum.
- BCH/USD is primed for losses unless a reversal occurs towards $440.
Bitcoin Cash is leading from behind in a market that is mainly painted red. Cryptocurrencies volatility is still high following last week surge and the consequent declines. While Bitcoin appears to find a consolidation above $7,900, Bitcoin Cash has been rejected from $440 for the second in the same week.
Meanwhile, the fourth largest cryptocurrency struggling to stay afloat above the short-term support that has been established at $400. Prior to the surge that touched $452, BCH/USD had found support at $230 in the last week of April. The bulls regain control in the first week of May where they pushed the price above multiple resistance levels at 23.6% Fib retracement level taken between the last upswing at $452 and a swing low of $230, $300, $340, $360, $400 and $440.
On brushing shoulders with $452 last week, the bullish momentum turned bearish leading to declines that tested the support at the 50% Fib level. However, supported by the rising trendline Bitcoin Cash reversed the move above $400 and increased the gains to $440 again.
In the meantime, the bulls have not been able to make headway above this level and the price is seeking support at $400 as mentioned. Technical indicators like the RSI and the MACD show that the price is primed for losses unless a reversal occurs towards $440.
BCH/USD 4-hour chart
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