Investors, who are keeping a close eye on Bitcoin Cash and want to avoid losses, should steer clear of these crucial price points.
As of this writing, Bitcoin is still showing a little bit of bullishness, despite losing a few digits from its price. BTC retreated below the $20K mark, and now trades at , according to data from Coingecko.
Short-term support for the bears came from rejection wicks at the $20.5k level. Even Bitcoin Cash, the fork of BTC, isn’t immune to this issue.
BCH is in such a jam, despite Bitcoin losing the $20k psychological support.
There have been recent reports regarding a number of developments with potentially profound implications for BCH. This report indicates that Bitcoin Cash’s transaction volume has been below the average of .
Lower transaction volumes are a negative indicator to both potential and existing investors for BCH, thus this could be an issue.
Even though the Chaikin money flow index is optimistic, it is establishing a downward trajectory, indicating that the velocity of selling is increasing.
The CMF index’s gloomy prognosis, on the other hand, is more pronounced on the 4-hour time range.
The 4-hour CMF is -0.05, indicating that sellers are gaining control of the BCH market. Currently, the question is whether BCH can still recover.
Bitcoin Cash: Formidable Wall For The Bulls
Bitcoin Cash’s value fell 35.50% between the July 29 rally and the September 19 low, before rebounding 17.40%. After that time, however, Bitcoin Cash’s price remains stable. These days, you can buy Bitcoin Cash for as little as $96.559 and as much as $166.025. Furthermore, BCH has a support level at $112.246 and a resistance level at $125,912. Although CCI and Stoch RSI readings are optimistic, the stated resistance level remains a formidable obstacle for BCH bulls to overcome.Possible Recuperation? Or Further Decline?
The BCH support line stays unchanged. However, there are two levels of resistance that investors and traders should target: $125.912 and $138.835.
Source:The former level was breached twice on August 23 and September 9, but the bulls were unable to sustain the break, resulting in a price decline to $112.246. A breach of the $125.912 resistance can be interpreted as a psychological buy signal for investors. Since the fall on September 13, a modest uptrend is building on the 4-hour time period. A strong closing in today’s trade could aid the bulls in maintaining momentum and finally surpassing the indicated resistance levels.
BCH market cap at $2.28 billion | Featured image from CriptoFacil, Chart:
