Today, the bears continue their selling pressure as the market reaches the breakout level of $360. Before this time, short term traders must have booked their profits as the market reached its peak price of $497.
Unfortunately, the downward move is gradual as the price reaches the breakout level of $360. In the first bearish impulse, the coin dropped to a low of $420 but pulled back to retest $460 resistance.
In the second downward push, it dropped to $380 but pulled back to retest $420 resistance. In the final downward move, BCH fell to the breakout level of $360 and continue fluctuations. Nonetheless, it is uncertain whether the downtrend will continue. It would be to the advantage of the bears if the selling pressure continues.
Bitcoin Cash is approaching the oversold region of the market. The BCH is currently below a 25% range of the daily stochastic. This indicates that the coin is in bearish momentum. The coin will be in a strong bearish momentum if it falls below the 20% range.
Key Resistance Zones: $440, $480, $520
Key Support Zones: $200, $160, $120
Bitcoin Cash has depreciated to $378 from a high of $497 at the time of writing. The selling pressure may likely continue. However, if it is exhausted at the breakout level of $360, then the coin is likely to consolidate above the current support. Traders should adjust their parameters if the current support holds.
Disclaimer. This analysis and forecast are the personal opinions of the author 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.