Bitcoin Cash price analysis: BCH/USD fails to hold ground above $300
|- Bitcoin Cash extended the bullish action above $306 but declines swept in pushing back under $300.
- Technical levels are still negative suggesting a further lower correction in the coming sessions.
Bitcoin Cash finally managed to clear the resistance at $300 in Tuesday’s trading session. The price action extended above $305 before charting a weekly high at $306.20 (Fibonacci swing high). The diminishing buying pressure left a gap that is currently explored by the sellers.
BCH/USD is struggling to hold ground above $295 short-term tentative support. The reversal from the recent high failed to find support above $300. Besides, the ascending trendline did little to stop the slide.
In other news, Bitcoin Cash has been facing heat from the public following suggestions from its lead developers that the network is incapable of processing larger mining blocks. Amaury Séchet, a BCH developer using his Reddit account replied to critics hinted that the BCH node is unlikely to create blocks bigger than 2MB.
Meanwhile, BCH/USD is changing hands at $297 after losing 1% of its value during the Asian trading session on Wednesday. The crypto is still trading above the Moving Averages where the confluence of the 50 Simple Moving Average (SMA) and the 61.8% Fib retracement level is likely to offer support above $290. The prevailing trend has a bearish inclination but traders can look out for other support areas including $285 and $270.
BCH/USD 1-hour chart
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