On Apr 15, the price reached a high of $335 and €296. It reached similar levels on Apr 8 and 15. It has been gradually decreasing since, reaching lows of $280 and €253 on Apr 21.
Bitcoin Cash has risen slightly. However, it is still trading below the psychological level of $300.
SponsoredWill BCH/USD and BCH/EUR rise or fall in the near future? Let’s find out:
Bitcoin Cash (BCH): Trends For April 22, 2019
- The price of BCH reached a high on Apr 15.
- Bitcoin Cash is trading inside a descending channel.
- Bearish divergence is developing in the RSI and the MACD.
- There is support near $275 and €241.
Descending Channel
On Apr 16, Bitcoin Cash reached a high of $324.9 Several market cycles have been completed, and the price has created lower highs.
Tracing these highs gives us a descending resistance line:
On Apr 15, the price reached a low of $298. A gradual increase was followed by a decrease.
Sponsored SponsoredThe price has made several lower lows.
Tracing these lows gives us a descending support line. Together, the resistance and support lines combine to create a descending channel:
It is likely that the price will keep decreasing at the rate predicted by the channel until a decisive move occurs.
In order to predict the direction of this move, a look at technical indicators is required.
Technical Indicators
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On Apr 6, the price made a high of $332.64. It made another high on Apr 8, and on Apr 15, it made the final high of $335.
Similarly, the RSI and the MACD made the first high on Apr 6. However, they have continued to generate lower values since.
This is known as bearish divergence and often precedes price decreases.
Using this indicator, prices losses appear likely. A sufficient drop in price could lead to a breakdown from the short-term channel traced above.
Future Movement
To determine future price levels, we will look at possible support areas.
The closest support area is found near $275 and €241. If the price keeps decreasing at the rate predicted by the channel, it is likely to reach these areas.
Summary of Analysis
Sponsored SponsoredThe price of BCH is likely to keep decreasing at the rate predicted by the descending channel. We believe that a breakout is unlikely. A breakdown appears more likely.
Do you think Bitcoin Cash will break down from the channel? Let us know your thoughts in the comments below.
To read our 2019 and 2020 price predictions for Bitcoin Cash, click on the green button below:
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.
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