Bitcoin Cash Price Prediction: BCH upside capped at $235 as bears take control – Confluence Detector


  • The sellers have so far nearly canceled out all the gains that the buyers made yesterday
  • BCH has two healthy support levels at $227 and $225. 

BCH/USD bulls were in full control of the market for the last two days. During this period, they were able to take the price up from $222.50 to $235. The number of holders with 100,000 - 1 million BCH coins had gone up from four to six in the previous ten days, which may have affected the price.

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However, following this bullish price action, the price failed at the $235 resistance line and has since fallen down.

BCH/USD daily chart

BCH/USD daily chart

After failing at the $235-level, the bears took over the market and dropped the price to $229.35. The sellers have nearly canceled out all the gains that the buyers made yesterday. The RSI is trending around the neutral zone, which means that BCH/USD can drop even more before it becomes undervalued.

BCH/USD daily confluence detector

fxsoriginal

The confluence detector is a pretty handy tool that shows us healthy resistance and support levels. This helps determine the upside and downside potential of the asset. When it comes to BCH/USD, there are two strong resistance levels at $233 and $235. The former has the monthly Pivot Point one support-one, while the latter has the weekly Pivot Point resistance-one.

On the downside, BCH has two healthy support levels at $227 and $225. The former has the one-week Fibonacci 61.8% retracement level, while the latter has the one-day Previous low.

BCH is soon going to go through a consolidation period as the holders prepare themselves for a third fork in four years.
 

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