At the start of this month, Bitcoin Cash was trading at $ 420. Since then he has made rapid gains. But Bitcoin Cash hits a cap at $ 770. And he hasn’t been able to revisit those highs over the past few days. The $ 740 level also acted as persistent short-term resistance. BCH threatened to slide below a range it had formed, and such a slide could push prices as far south as $ 580.
Bitcoin Cash chart in 30 minutes
On the charts, a range between $ 650 and $ 770 has been plotted. Yellow levels represent levels of importance in the range in which the price could find support, with particular emphasis on the middle of the range at $ 709. The midpoint of the range is the most crucial level in a range, and yielding it to the bears does not bode well for BCH in the near term.
Over the past few days the OBV has slid lower alongside the losses of BCH. This indicated that real selling pressure was behind the coin’s recent losses. In the long run, it was just a failure on the big bullish peaks of the OBV. But in the short term, the downward trend in OBV is significant.
The RSI also slipped below the neutral 50 and continued to stay below to show bearish pressure.
Trading volume was stable, but the loss of the $ 709 level was followed by a wave of strong sales. This showed that the market’s conviction was on the side of the bears.
Levels to watch
The $ 709, $ 679, and $ 650 are the most important levels to watch out for. Losing $ 679 will likely see BCH drop to $ 650. The market will once again see a violent skirmish between buyers and sellers.
Defense of the $ 679 level will give the bulls some impetus to attempt to resize $ 709.
It would be better to assess the market sentiment at certain levels before deciding to enter the market. A visit to $ 650 would represent an opportunity to buy or take a short position. Recovering the $ 709 level as support after rebounding $ 679 would also be a buying opportunity.
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