Bitcoin Cash is presently trading at a 20% decline after failing to overcome the $1,200 resistance. The digital asset industry is currently in the red zone as major coins have declines as high as 20%, which could be a correction after the continuous price growth. Bitcoin Cash is still trading above the $800 mark, but if it loses the support level, it could decline as low as $600.
The asset HSS breached the $1,000 support, and its following line of action could mean more losses for holders. This new fall is due to profit-taking and selling pressure from buyers that recorded massive profits during the previous gains.
Bitcoin Cash declines as the industry goes red
The declines started when the crypto hit the $1,216 high, and since the $1000 support is no longer holding it, BCH could welcome more losses. The crypto’s current resistance level holds at $1,300, $1,350 and $1,400. On the other hand, support holds around $900, $850, and $800. The asset had maintained a steady bull run for several weeks, which helped it add a notable amount to its current value.
Things are cooling off as the asset currently faces massive corrections, which could continue if things don’t change. Interestingly, the crypto’s technical analysis shows that it is still bullish and should still be copping more gains.
Bitcoin Cash is down by 20%, and it currently trades around $877, and data shows that it is above its 9-day and 21-day moving averages. Previously, the asset had closed in one of the moving averages, while the technical indicator, RSI (14), moves to the 85-level. This shows that the asset is still bullish, but the market situation might have influenced the decline.
When the asset tested the $1,000 mark, the support broke, and the value came stumbling. The support loss took the asset from the $950 mark to the present $877. If the swings persist, the declines would continue and cause problems for a rally.
Fortunately, if the asset sees a high swing, it would likely retake the previous $1,200 support, its current resistance level. This also means that Bitcoin Cash’s growth could take its value as high as $1,300 despite the recent price falls.
Bitcoin Cash against its counter coin, Bitcoin is still holding strong. The market has more participation as crypto holders anticipate another Bitcoin growth, especially as the king coin continuously records more falls after hitting the $65,000 mark. Unfortunately, Bitcoin is currently trading at $54,000, far from its ATH as the market bears have grown dominant in the market. The bears are putting pressure on most coins, which has led to new declines in the digital asset markets.
Bitcoin Cash is at a critical point, and it needs assistance from the market bulls, or it would continue to decline. Crypto holders are very vulnerable currently as further declines might continue to raid the digital asset space. BCH might see a rebound if the bulls are committed to adding new gains for the counter coin, requiring the cooling of the selling pressure.