Bitcoin Cash price analysis: BCH/USD could retest $200 support on reacting to the rising triangle
|- Bitcoin Cash price holding above $220 short-term support but the rising triangle hints return to $200.
- The trend is still generally in the control of the bears hence more downside is expected before significant recovery is expected.
Bitcoin Cash bulls have been fighting almost a week now to come out of the ‘pit’ they were pushed into during last week’s declines. October has been predicted to be a good month for cryptocurrencies as they find their balance and look forward to new levels towards the end of the year.
As for Bitcoin Cash, the intraday trend is generally bullish although the cryptocurrency live rates show a 0.24% loss on the day. The low volatility coupled with the little trading activity means trading opportunities will continue to be limited.
The full stochastic oscillator in the four-hour range shows that the bears are starting to get the better of the buyers. The indicator is sharply diving toward the oversold. Besides, the gap between the 50 simple moving average (SMA) on the one-hour chart and the 100 SMA signals that the bears are likely to stay in control.
In addition to that the formation of a rising triangle pattern means that if the trendline support is broken, BCH could plunge right back to levels around $200. For now, the buyers must ensure to hold above $220 support and focus on elevating Bitcoin above $230 and $240 respectively.
BCH/USD one-hour chart
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