Bitcoin Cash Price Analysis: BCH/USD delays triangle breakout as Bitcoin slips under $9,500
|- Bitcoin Cash bulls have a task to defend $240 support at all costs to avert possible losses to $230 and $200.
- Bitcoin Cash is staring towards a possible breakout from the triangle pattern; target set at $280 in the medium term.
Bitcoin Cash is slightly in the green on Thursday during the Asian session. After extending the price action from March lows at $132, BCH has failed to sustain gains above $280. Instead, the price continues to narrow around $240. At the time of writing, BCH/USD is trading at $240.20 amid a growing bearish grip coupled with high volatility. This means that Bitcoin Cash is likely to breakdown in the near future as opposed to taking the fight to the $250 resistance zone.
On the other hand, Bitcoin (BTC), the largest cryptocurrency by market capitalization has slipped under $9,500. All attempts to break above $10,000 failed amid a strengthening bearish grip. BTC/USD is trading at $9,470 after refreshing levels at $9,250.
Scenarios from the symmetrical triangle
The daily chart clearly shows the formation of a symmetrical triangle and Bitcoin is trading at the apex of this pattern. The price is, however, trading closer to the triangle support which means that the bulls have a task to prevent losses below $240. This way they can help avert declines towards $230 and $200.
On the flip side, if the price changes direction and clears the triangle resistance, there is a possibility of a breakout targeting $280 and $300 levels respectively. Since the breakdown in March, BCH/USD has stepped above $280 only once. Another attempt could be the key for gains above $300 and even February highs around $500.
BCH/USD daily chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.