Bitcoin Cash Holds Above $250 as Bulls Continue to Retest $280 High

Following the retest at the $280 overhead resistance, BCH has been on a downward move. On October 26, BCH retraced to $252 and corrected upward.

Today, the crypto is trading at $272 after a rebound above $259. It appears BCH may further depreciate on the downside because it retested $267 high and resumed downward. 

The bottom line is that if the coin retraces beyond $250 support, the downtrend will resume. The selling pressure will extend to the low at $220. On the upside, if buyers continue to sustain the price level above $250, a retest at the $280 overhead resistance is possible. Otherwise, the market will continue the downward move.

Bitcoin Cash indicator reading 

BCH is below 80% range of the daily stochastic. The coin was earlier in an overbought region as sellers emerge to push prices down. The current retracement is above the 21-day SMA support. The uptrend will resume if the support at the 21-day SMA holds. However, if price breaks below the SMAs, the selling pressure will resume.

Key Resistance Zones: $440, $480, $520

Key Support Zones: $200, $160, $120

What is the next move for Bitcoin Cash?

From the recent price action, BCH is likely to further decline if buyers fail to break $280 resistance. On October 26 downtrend, BCH corrected upward to retest the $267 high. The retraced candle body tested the 50% Fibonacci retracement level. This indicates the downward move will continue to 2.0 Fibonacci extensions. That is the coin will decline to $227.65 once the $250 support breaks.

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.