BCH/USD Medium-term Trend: Bearish
Supply zones: $800, $900, $1000
Demand zones: $300, $200, $100
BCH is in a bearish trend in its medium-term outlook. The bullish pressure pushed BCHUSD to a new high at $646.80 in the supply area before showing exhaustion as denoted by wicks in the two candles. The large bearish engulfing candle announced the bears returned. BCHUSD was down to $612.40 in the demand area before the end of yesterday session.
The 4-hour opening candle at $620.03 was another bearish engulfing candle a signal that the bears' pressure is strong as BCHUSD dropped to $580.00 in the demand area.
Price is below the 10-EMA and the stochastic oscillator is at 47% and its signal points down which suggest further downward price movement in the medium-term as the bears' pressure becomes much stronger.
The bears may continue pushing down to the 50.0 or 61.8 fib level before a possible loss in momentum and the bulls may return at that level in the medium-term.
BCH/USD Short-term Trend: Bearish
The cryptocurrency is in a bearish trend in its short-term outlook. After breaking the 10-EMA and dropping the price from $646.80 in the supply area to $610.50 in the demand area, the strong bearish pressure broke $587.70 in the lower demand area of yesterday range this morning.
Currently, price is around the broken demand area, a retest is necessary to further confirm that the bears have started the journey south in the short-term.
The stochastic oscillator is in the oversold region at 9% and its signal points down which suggests that the bears may prevail in the short-term and the cryptocurrency price may go further down.
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