Bitcoin Cash price analysis: BCH/USD failed breakout attempt jeopardizes $220 support
|- Bitcoin Cash rejection at $230 results in losses under $225 as $220 support remains in grave danger.
- Technical indicators send bearish signals as Bitcoin Cash shifts focus from $230 to levels under $220.
Bitcoin Cash's current trend has a bearish bias. This comes after a desire to rise above $230 failed earlier this week. BCH also ran out of the energy to defend the support offered by the 50 Simple Moving Average (SMA) on the one-hour chart and the 100 SMA around $225.
The price is falling towards the tentative support at $220. Bitcoin Cash has a market value of $221.66, although it is slightly in the green on Wednesday. The full stochastic oscillator clearly shows that the price having an affinity for losses. The downtrend is bound to continue until oversold conditions occur.
On the other hand, the Moving Average Convergence Divergence (MACD) has slowed down the momentum towards the positive territory. The horizontal direction signifies relatively equal bearish and bullish forces. The direction the MACD takes from now on will help to tell where Bitcoin Cash price will be heading. For now, the best the buyers can do is to keep the BCH above $220 to avoid retesting the key support range at $215 to $217.
BCH/USD one-hour chart
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