Bitcoin Cash Technical Analysis: BCH Falls Below $400 As The Bears Rampage
Daily Bitcoin Cash BCH Price Analysis
- Bitcoin Cash price has flipped the 50-day SMA from support to resistance.
- BCH is presently trending in a downward channel formation.
After trending horizontally below the $440 resistance barrier, the sellers have finally taken full control, as the Bitcoin Cash price dropped below the $400 psychological level.BCH has been trending horizontally for a while, and it’s currently on pace to hit the $330 support wall.
Bitcoin Cash Dropping Towards $330 Support
The Bitcoin Cash price has flashed multiple sell signals by breaking below the $400 line and flipping the 50-day SMA from resistance to support. The relative strength index (RSI) has reached the oversold stage yet since this shows that a further drop in valuation is expected.
Image: BCH/USD daily
The IOMAP shows that the bears face a lack of healthy support levels on the downside. There is moderate-to-weak support at $330, where 59,000 addresses had purchased 423,000 BCH tokens.
In the 4-hour Bitcoin Cash price chart, BCH failed at the 200-bar SMA and crashed from $425 to $380, losing nearly $45 in overall valuation. The 200-bar SMA has crossed over the 20-bar SMA to form a bearish cross pattern. Plus, the MACD also shows increasing bearish momentum.
Image: BCH/USD 4-hour
Both these indicators tell us that the market sentiment for Bitcoin Cash price is exceedingly negative.
Bitcoin Cash Price Is Expected To Reach These Levels
With multiple indicators flashing the sell signal, we can expect the Bitcoin Cash price to drop to the $330 support line. If this level breaks, the price may drop to the 200-day SMA ($290).