Bitcoin cash price declined and retested the $220 support zone against the US Dollar. BCH is now consolidating and facing many hurdles near $226 and $230.
- Bitcoin cash price tested the $220 support level and it is consolidating losses against the US Dollar.
- The price is currently facing a strong resistance near the $230 and $231 levels.
- There is a key bearish trend line forming with resistance near $226 on the 4-hours chart of the BCH/USD pair (data feed from Kraken).
- The pair must clear the $230 resistance zone to start a fresh upward move in the near term.
Bitcoin Cash Price Holding Main Support
This past week, bitcoin cash price started a steady decline (similar to btc) below the $235 and $230 support levels. BCH even traded below the $225 support level and settled well below the 100 simple moving average (4-hours).
It tested the $220 support and formed a low at $217. It is currently consolidating losses and correcting above the $220 level. There was a spike above the 23.6% Fib retracement level of the downward move from the $246 swing high to $217 low. However, the price is facing a lot of hurdles on the upside, starting with $225. There is also a key bearish trend line forming with resistance near $226 on the 4-hours chart of the BCH/USD pair.
Bitcoin cash testing $225: Source:The main resistance above the trend line is near the $230 level and the 100 simple moving average (4-hours). It is close to the 50% Fib retracement level of the downward move from the $246 swing high to $217 low.
A successful break above the trend line and then $230 could initiate a fresh increase. In the mentioned case, the bulls are likely to aim a retest of $245. Any further gains could push the price above the $250 resistance.