- Bitcoin Cash price analysis suggests downwards movement to $580
- The closest support level lies at $610
- BCH faces resistance at the $650 mark
The Bitcoin Cash price analysis shows that the bears dominate the asset’s price action as BCH continues its downwards movement. On the other hand, the market volatility and the recorded trade volumes have shown a significant decline in the past few days compared to the start of September.
The broader cryptocurrency market observes a bearish market sentiment over the last 24-hours as most major cryptocurrencies record negative price movements. Major players include Elrond and EOS recording a 6.89 and a 6.42 percent decline respectively.
Bitcoin Cash price analysis: Bears dominate the market
Across the technical indicators, the MACD is currently bearish as exhibited by the red histogram showing seller dominance at press time. The indicator observed a bearish crossover two days ago and has remained red since. However, the recent hours have observed a declining in bearish momentum as BCH finds short-term support at the $610 mark.
The EMAs are currently moving downwards showing strong selling activity in the markets. The 12-EMA is currently moving with a steeper slope suggesting further divergence from the 26-EMA.
The RSI has remained neutral for the last ten days since briefly dipping to overbought region on September 7. Currently the RSI trades at a low level near the 40.00 index unit mark showing low bearish dominance. The indicator is currently moving downwards suggesting a selling pressure at the current price level. The indicator’s current position leaves room for downwards movement before a trend correction
The Bollinger Bands are currently narrow but do not show further convergence or divergence. Instead, both the indicator’s upper and lower limits move with a slight decline as BCH continues to observe low volatility in a bearish trend. While the bands suggest bearish dominance they also show that volatility will remain low in the short-term.
Technical analysis for BCH/USDT
Overall, the 4-hour Bitcoin Cash price analysis issues a sell signal with 16 of the 26 major technical indicators suggesting a downwards movement for BCH across the timeframe. On the other hand, none of the indicators issue support for the bulls suggesting little to no buyer activity in the markets. At the same time, ten indicators remain neutral and do not issue support for either side of the market.
The 24-hour Bitcoin Cash price analysis shares this sentiment and shows 14 indicators suggesting support for the bears against only two indicators suggesting an upwards movement. Meanwhile, the remainin ten indicators sit on the fence and do not issue any signals at press time. The analyses’ negative sentiment suggests that BCH may observe a downwards breakout from the channel.
What to expect from the Bitcoin Cash price analysis?
The Bitcoin Cash price analysis suggests further consolidation as the trade volume and the market momentum remains low. However, the price can be expected to observe a downwards breakout from the channel falling to the $600 mark and below. The mid-term technical analyses support this suggestion and suggest a drop to the $580 mark.
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