- BCH token price is closing below the $600 level after a 60% free fall, indicating a downtrend.
- The coin price faced a death cross of 50 and 200 EMA in the 4-hour timeframe of BitcoinCash.
- The BCH/BTC pair was trading at 0.01643 BTC, an intraday fall of 17.28%.
BCH token price observed a death cross of 50 and 200 EMA, resulting in further the downtrend as analysed in the previous article. The technical chart of Bitcoin cash forecasts a closing between $600 level. The decline in selling volume in the daily timeframe contradicts the bearishness predicted by the EMAs.
The declining bearish momentum of RSI and slow downtrend momentum by ADX in the daily time frame indicates a price reversal. However, closing below $600 might become a point of no return for bulls. Today’s BCH token price is $583.18, with a trading volume of $4,725,061,630 in the last 24 hours. Bitcoin Cash is down 17.28% in the previous 24 hours. The coin is the 11th most valued cryptocurrency with a live market cap of $10,931,195,760.
Bearish signals buzzing all over the technical chart of the BCH token
BCH token price action in the weekly timeframe indicates the apparent bearish engulfing candle ready to head the price lower. The increasing selling volumes in the weekly timeframe contradict the lower volume range in the daily timeframe implying the bears still dominate the trend. The coin price has found demand near the 50 EMA in the weekly timeframe.
The volumes are on the lower side, suggesting the potential persistence of the downtrend. As predicted in the previous article, the chance of price forming a head and shoulder pattern in the daily timeframe does not stand anymore, as the price breached the $600 level. As per the pivot points, $200 is the following support level, and the coin price may encounter resistance near $700 and $915
EMA- (50,200) – the coin price has breached the 200 (white) EMA in the daily timeframe and continues to head lower. Like in the 4-hour timeframe, a death cross in the daily timeframe is also possible.
The relative strength indicator (slightly bullish), with a value of 35, is moving just above the oversold zone with a high possibility of reversal. The ADX indicator, with a value of 33 in the daily timeframe, is moving sideways and coiling up to give a big move soon.
Conclusion – BCH token free fall till $200 could be possible if closing below $600 occurs in the daily timeframe. The bearish candle in the weekly time frame adds points to this idea. The technical indicators are generating sell signals in significant timeframes.
Resistance: $700 and $915