- BCH token price breaches the solid support level of $550 with a huge ongoing bearish engulfing candle in the daily technical chart.
- The coin price is trading below all significant EMAs- 20,50,100, and 200 projecting a full bearish, no bullish phase.
- The BCH/BTC pair trading at 0.01514 BTC has faced an intraday fall of -3.24%.
BCH Token price has been resonating within a triangle pattern in the daily technical chart after facing rejection from the $825 level. The support level of $550 managed to avoid downfall any further.
However, the increasing bearishness influenced by the sloping crypto market and the bearish crossover of the EMAs resulted in the price breaking below the $550 mark. Investors may soon expect the price to hit the low of $360 or even $200. Unfortunately, analysts are unable to foresee any levels that may reverse the downtrend.
Nonetheless, For smart investors who believe in the strong fundamentals of the BCH Coin, the downfall brings the opportunity to hoard at a discounted rate. Analysts suggest a 30% to 60% fall after triangle fallout, projecting an exit signal for already invested traders as per price action analysis.
Presently, the value of a BCH token is $503.68, with an intraday loss of 8.93% in the market cap. Furthermore, the intraday trading volume of BCH has increased 13.18% in the past 24 hours, suggesting an increase in selling pressure. Nonetheless, with 0.72% of market dominance, the coin secures 11th rank in the crypto-verse.
Descending Triangle Fallout Is A No Point Of Return for Bulls in BCH Token
BCH token price resonates within the descending triangle in the daily technical chart with declining trading volume below the 20 MA. However, the recent boom in trading volume as the price falls and reaches the $550 support level projects an increased selling pressure.
Investors might soon observe the fallout of the pattern as the price bottles up within the triangle and trades below all significant EMAs. The bearish crossover of 50 and 100 EMA promotes the fallout theory.
However, upon a bearish breakthrough, the coin price may find support near the $360 and $250 beneath the pattern. And in the unlikely case of a bullish breakout, $650 and $750 are ready to try and push the price down.
The RSI indicator (bearish) indicates a rising bearish underlying momentum as the RSI slopes down and heads lower into the oversold zone.
The ADX indicators project a low trend momentum as the coin price hangs above the $550 level.
Conclusion – BCH token price breaks out of the descending triangle coupled with the breakout of $550 level. The coin price is undergoing a strong downtrend with no point of reversal before the $360 mark.
Furthermore, as per technical indicators, the strong downtrend is backed up with high trend momentum. Investors are warned to avoid any bullish entry as the overall sentiment of the crypto market is bearish.
Resistance: $650 and $700
Support: $360 and $250