We at BeInCrypto have been closely watching the Bitcoin Cash (BCH) charts over the last week, to anticipate what will happen before (and after) the Nov 15 hardfork. Let’s continue with another Bitcoin Cash (BCH) price analysis.
Late last night (EST), BCH bucked the trend and broke out of its downward channel. However, the price fairly quickly retraced — though bounced around plenty on the way back. Now, it has garnered support at the ever-crucial and must-discussed 0.08 BTC level.
Holding at the 0.08 would be a good sign, technically speaking.
That said, the lack of a follow-through after breaking out of the channel is moderately concerning.
The Stochastic Relative Strength Index (Stochastic RSI) has approached overbought territory and received a swift rejection. The lines have crossed in bearish fashion, possibly suggesting that the pendulum of momentum is about to swing the other way. If that happens, it is unlikely that the price will hold at the primary support level of 0.08 BTC.
The Stochastic RSI on the daily chart is also heading downwards in a direct and steady fashion. At the moment, there is very little reason to suspect the indicator will change direction — other than the fact, of course, that a hardfork will be taking place in only a matter of days.
In theory, nothing is stopping investors from pumping the price immediately before the hardfork occurs. However, it is looking more and more likely, with each passing hour, that the high is already in for this specific pump.
After the hardfork occurs, there is a very high possibility BCH will dump even further.
What do you think about the pre-fork price action for Bitcoin Cash (BCH)? Be sure to let us know your thoughts in the comments below!
[Disclaimer: The author of this article holds Bitcoin (BTC) but does not hold any Bitcoin Cash (BCH). This is not financial advice, and should not be construed as such. It is for informational purposes only. BeInCrypto is not responsible for any financial decisions made by any readers. Trading in cryptocurrency is notoriously volatile and we recommend anyone interested consult with a trained financial professional.]