Bitcoin Cash Slumps as It Faces Rejection at $164 Upper Resistance Level

The price of Bitcoin Cash (BCH) resumed its downward correction as it breaks below the 21-day line SMA.

Bitcoin Cash price long-term analysis: bearish

On July 29, the cryptocurrency rallied to the high of $164.80, but buyers failed to break the overriding resistance of $164. Now BCH price fell above the 21-day line SMA, but buyers could not sustain the bullish momentum to the previous highs. On the downside, the altcoin is likely to fall to the low above the 50-day line SMA. 

However, the selling pressure will intensify if the bears drop below the 50-day line SMA. The market will continue to fall to the low of $108. BCH/USD pair is trading at $139.40 at the time of writing. 

Bitcoin Cash Indicator Reading 

The cryptocurrency is at level 53 of Relative Strength for the period 14. It indicates that the altcoin is still in an uptrend, although it has fallen below the 21-day line SMA BCH is likely to return to a certain range, as it has fallen between the moving average lines. The price of the cryptocurrency is above the 40% area of the daily stochastic. This indicates that the market is in a bullish but unstable momentum.

Technical Indicators

Key resistance zones: $130 and $150

Important support zones: $120 and $100 

What is the next move for Bitcoin Cash (BCH)?

Bitcoin Cash has dropped below the 21-day line SMA. Today BCH, is trying to retest the moving average line to the upside. The cryptocurrency will continue to fall if it is rejected at the moving average line.

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 funds.

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