The price of Bitcoin Cash (BCH) has come under renewed selling pressure after falling below the previous low of $150. Prior to the recent breakout, the cryptocurrency was in a sideways movement between $170 and $210 price levels.
However, the May 31 upward correction was rejected at the $210 high. This caused the price to fall below the 21-day line SMA. Bearish momentum fell well below the previous low at $150.
Today, BCH/USD is trading at $113 as of press time. Meanwhile, the current decline has pushed the altcoin into oversold territory in the market. Selling pressure is likely to ease when the market reaches the oversold region. The price of BCH will fluctuate between $100 and $150 if the altcoin holds above $100.
BCH is at level 21 of the Relative Strength Index for period 14. The altcoin has fallen deep into the oversold region of the market. The bearish momentum is likely to end in the meantime as buyers are emerging in the oversold region. The cryptocurrency's price is below the moving averages, which indicate a further decline. BCH is below the 20% area of the daily stochastic. Moreover, the altcoin has reached the oversold region.
Key Resistance Zones: $300, $320, $340
Key Support Zones: $200, $180, $160
Bitcoin Cash is in a downtrend as the altcoin has fallen sharply. Meanwhile, on May 11 downtrend, a retraced candle body tested the 78.6% Fibonacci retracement level. The retracement suggests that BCH will fall to the level of 1.272 Fibonacci extension or $146.80. The price action shows that BCH has fallen above the 1.272 Fibonacci extension level or $146.80.
Disclaimer. This analysis and forecast are the personal opinions of the author and 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.