Bitcoin Cash price analysis: Bearish channel declines enter a new phase
|- Bitcoin Cash declines enter range support between $450 and $430.
- The outlook of the chart is positive in the near-term but bearish in the medium-term term.
The cryptocurrency market short-term analysis suggests that the major cryptocurrencies are staring into a bottomless pit. If spoked, however slightly, fresh losses towards this year lows will become apparent. Bloomberg’s Galaxy Crypto Index shows that the market volatility has gone down significantly since the highs in September. Moreover, the Bollinger Bands indicators show the highest levels of consolidation since January. All the major cryptocurrencies including Bitcoin Cash have declined drastically since September.
In the interim, Bitcoin Cash continues to languish below the trendline resistance line that started in the first week of October. There was a spike above the line at the beginning of this week, however, the crypto lost steam as fast as it had climbed above $500. In the past few days, BCH/USD has been trading lower highs and lower lows within a bearish channel.
Furthermore, there was a dip into the support range with the upper limit at $450 and the lower limit at $430. Bitcoin Cash is currently trading at $443 while testing the short-term support at $440. The MACD is gradually heading towards the positive region while the RSI confirms the subtle bullish trend with an upward move heading to the 50 percent mark.
The outlook of the chart is positive in the near-term but bearish in the medium-term term unless the bulls can pullback and reclaim the support at $450. Besides, a break past the trendline resistance which currently coincides with the 200SMA could open the gate for more buying entries as BCH retraces to $500.
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