Bitcoin Cash Price Analysis: BCH/USD desperately searches for support, breakdown to $350 looms
|- Bitcoin Cash struggles to stay above $380 as bears call for $350.
- BCH/USD is likely to settle in consolidation around $380 for the short term.
The cryptocurrency assets suffered another massacre on Wednesday during the American session. The mid-week recovery posted on Tuesday through to Wednesday turned out to be a bull trap. Analysis on Wednesday pointed to a possible surge to $500. However, BCH/USD dipped from levels above $420 to explore those beneath $400.
At the time of writing, Bitcoin Cash price is pushing for consolidation around $380 but the trend has a bearish inclination likely to test the falling triangle support at $370. Technical signals has remained bearish both in the Asian and European sessions. The MACD is digging deeper in the negative region while the bearish divergence reflects the influence the sellers have over the price.
The Relative Strength Index (RSI) has corrected from Wednesday’s high at 61 and is trying to find balance at 30. Further downward correction could call for more seller entries resulting another slump to $350.
For now, the best the bulls can do is defend the support at $380 and focus on pulling towards $400. They must also prepare to deal with the seller congestion at the 50 SMA on the 1-hour chart, the descending trendline resistance and the 200 SMA at $440.
BCH/USD hourly chart
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