BCH/USD Medium-term Trend: Bearish
Supply zones: $900, $950, $1000
Demand zones: $600, $550, $500
Bitcoin Cash continues in it bearish trend in the medium term. The bears' high momentum pushed price down to $684.35 in the demand area. This was the area the cryptoasset got to on June 24th as you can see from the chart.
The formation of the double bottom pattern is playing out. It implies that minor bullish pressure may occur for upward movement of price. This should be seen as a pullback necessary for the market correction for downtrend continuation. A good reversal candle pattern is needed to further confirm the bulls intention just as we had a doji on June 24th.
The stochastic oscillator is in the oversold region at 22 percent and it signals points down which implies the downward momentum in price of the cryptocurrency in the medium-term as the bearish pressure and presence increases.
BCH/USD Short-term Trend: Bearish
The cryptocurrency in bearish in the short-term outlook. The flag formation mentioned in yesterday analysis did justify downtrend continuation. the bears' strong pressure pushed price further down with a large bearish engulfing candle. This is despite the bullish candle formed at the opening of the market.
$684.45 in the demand area was the initial price the bears dropped the cryptocurrency as the momentum reduces. The bulls are gradual back pushing price up.
The 10-day EMA is seen as a strong resistance to the upward bullish movement.
The stochastic oscillator is in the oversold region at 15 percent and it signals point up which implies that we may see some upward momentum in price movement of the cryptocurrency in the short-term.
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