Bitcoin Cash Price Continues to Decline, Could Drop Below $105
Bitcoin cash price has started a fresh decline from the $125 zone against the US Dollar, similar to bitcoin. The price is now trading below the $120 zone and the 55 simple moving average (4-hours). There is a key bearish trend line forming with resistance near $116 on the 4-hours chart of the BCH/USD pair (data feed from Coinbase). The pair could correct higher, but upsides might be limited above the $115 level.
Bitcoin cash price struggled to gain pace for a move above the $125 and $130 resistance levels. BCH formed a high near $125.94 and started a fresh decline. There was a clear move below the $122.00 and $120.00 support levels. The bears even pushed the price below the $115 support. The price tested the $110 support and it is currently consolidating losses.
If there is a downside break below the $110 support, the price could continue to decline heavily. The next major support is near the $105 level, below which the price could test the $100 support. On the upside, an initial resistance is near the $115 level. The first major resistance is near the $116 level and the bearish trend line.
If there is an upside break above the trend line, the price could test the $120 resistance. The main resistance is still near the $125 level, above which the price could start a strong increase. Overall, bitcoin cash price is declining and it could drop heavily if there is a move below $105. Traders should be cautious and wait for a clear break above $125 or below $105 before taking any major positions.
