BCH/USD Medium-term Trend: Bearish
Supply zones: $1000, $1100, $1200
Demand zones: $600, $500, $400
BCH continues in the bearish trend in the medium term outlook. The strong bearish pressure dropped the cryptocurrency from $735.82 in the supply area down to $685.57 in the demand area a few pips away from the predicted $678.27.
The formation of railway track and bullish hammer at the demand area a candlestick reversal signalled the bulls’ comeback.
This led to price at $715.95 in the demand area but the bulls lost momentum as bearish gravestone doji was formed at the supply area it shows rejection in upward price.
The stochastic is in the oversold at 49 percent and signal points down which implies downward momentum in the cryptocurrency price.
A minor pullback to the 23.6 fib level may occur this should be seen as the market correction required for the downtrend continuation.
BCH/USD Short-term Trend: Bearish
The cryptocurrency continues in the short-term outlook. The bulls returned due to the formation of a double bottom at $685.87 in the demand area. The cryptocurrency was up $715.46 in the supply area.
Further price upward movement at this supply area was rejected area as the bulls lost momentum. The formation of the double top in the supply area returned the bears and price was pushed below the two EMAs crossover, currently down to $691.37 In the demand area.
The stochastic oscillator is in the oversold region at 16 percent and it signal points down which implies downward momentum in price of the cryptocurrency.
As more candles formed and closed below the two EMAs, $670.50 in the demand area may be attained by the bears in the short-term.
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