Bitcoin Cash Reaches Bearish Exhaustion as It Hits the $95 Low

The price of Bitcoin Cash (BCH), which reached a high of $124 on November 4, is now in an upward correction. The resistance area of $120 was strongly rejected by BCH the next day.

Since then, the cryptocurrency has been in a downtrend. BCH slipped above the critical support at $103 for the first time on November 8. 

BCH has continued to fall today, hitting a low of $95. The historical price level of July 13 was reached, which is a negative development. The historical price level, which is the current support at $95, is being tested again by the market. The current support remained as the cryptocurrency rose to a high of $164 in July. However, as the market approaches oversold territory, selling pressure may ease. BCH is trading at $96.45 at the time of writing.

Bitcoin Cash indicator reading

The Relative Strength Index of BCH for the 14 period has dropped to 32 as the altcoin drops sharply. The price bars are below the moving average lines, indicating that the altcoin will continue to fall. The daily stochastic is below the 20 level for Bitcoin Cash. The market has also reached bearish exhaustion and the cryptocurrency is in a bearish momentum.

Technical Indicators

Key Resistance Zones: $160, $180, $200

Key Support Zones: $120, $100, $80 

What is the next direction for BCH?

BCH has dropped sharply on the 4-hour chart. The downtrend has retraced to its previous low of $95 on July 13. If $95 support holds, BCH upward momentum will resume. If $95 support is broken, selling pressure may return.

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing in funds.

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