Bitcoin Cash price analysis: BCH/USD plummets below $1,000; CFTC collaborates with the Justice Department in a new probe into cryptocurrency markets
|- The regulators will investigate price manipulation using activities like spoofing.
- Bitcoin price down 1% on the day, tests key support at $950.
Bitcoin Cash is declining within a descending channel, besides it is testing $950 after sliding under $1,000. The retracement levels have failed to hold the price, although the selloff is across the entire market. Indicators are signalling that the bearish momentum will continue to dominate in the near-term. The bulls are seeking equilibrium after extended declines as the bears ignore the oversold levels.
The Justice Department in the US has started a new probe into the markets to investigate the chances that Bitcoin price is being manipulated by the traders. Spoofing, which entails spamming the market using fake orders along other illegal activities will be investigated. The Commodities Futures Trading Commission (CFTC) will work closely with the department. The regulators believe that illegal activities like spoofing could have made their way into the cryptocurrency market. They will go beyond Bitcoin and examine other digital assets as well.
Bitcoin Cash price is down 1% on Thursday, while it is exchanging hands at $965. The gap between the moving averages is widening to signal that the sellers have a tight grip. On the upside, BCH/USD will encounter stiff resistance at $1,000 as well as at the 61.8% Fibo which failed to stop the declines. An immediate support is seen at $950, but the lower side of the descending channel will offer support above $900.
BCH/USD 4-hour chart
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