Bitcoin Cash was repelled at the $280 resistance as buyers retested the overhead resistance. This resistance pushed the coin to a $252 low as the market moved up again.
On October 28, the coin retested the $280 overhead resistance and plunged into the previous low. The second retest at the overhead resistance is a confirmation that the selling pressure will continue.
Presently, BCH is falling and the downtrend is likely to affect the $250 critical support level. In other words, the current price fall is going to extend beyond the $250 support. The downtrend is likely to reach a low of $238. Nevertheless, if the bears can defend the $250 support, there is a possibility of a resumption of an upward move. Meanwhile, the coin is falling and has reached a low of $260.99 at the time of writing.
The coin is now below the 80% range of the daily stochastic. Sellers have emerged in the overbought region to push prices downward. The market is still on a downward move. BCH price is approaching the 21-day SMA support. BCH will resume an upward move if the support holds. The selling pressure will continue if the price breaks below the SMAs.
Key Resistance Zones: $440, $480, $520
Key Support Zones: $200, $160, $120
From the price action, the downtrend is ongoing. In the downtrend of October 29, a retraced candle body tested level 50% Fibonacci retracement level. This retracement indicates that the price is likely to reach a low of 2.0 Fibonacci extensions or the low of $240.16
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.