Bitcoin Cash Enters Bearish Trend Over Both Short And Medium Term

Bitcoin Cash enters a bearish trend in both of the short-term and medium-term and the four-hour frame is showing that a further breakout above $242.00 level could spike a major up move. A bearish head and shoulders pattern could still get to the BCH/USD pair as we are about to read further in the Bitcoin Cash News Today.

Bitcoin cash has moved away from the worst level of the trading month and the cryptocurrency is now trapped in a period of sideways consolidation around the monthly opening price. A spike to the price to the $232.63 over the last few hours is a strong indicator that a breakout could be imminent. The BCH/USD pair is still technically bearish over both the short and medium-term which leaves a prospect of further downside ahead for the cryptocurrency. The failure to maintain the price below the $215 level also leaves the possibility of an upside rebound on the table. The pair is set to breakout above the $242 level will get extremely bullish for the cryptocurrency in the short-term for multiple technical reasons. The daily time frame shows that a major technical breakout could happen if the bulls rally above the $325 level and it is worth noting that a rally of over forty percent will have to occur in order for this to happen.

A move above the $242.00 level would invalidate a bearish head and shoulders pattern on the lower time frame and the BCH/USD pair’s 200-period moving average on the four-hour time frame is also located at the same level. Bitcoin cash enters the bearish trend because by looking on the downside, a break under the $215.00 will be negative for the pair this week. The $200.00 level is currently the top of the bearish head and shoulders pattern and could spike a massive decline towards $160. According to the latest sentiment data, the short-term sentiment towards Bitcoin Cash is neutral at 52 percent while the long-term sentiment for it also neutral at 49.00%. The four-hour timeframe shows that the bulls need to move above the $242 price level to invalidate the bearish head and shoulders pattern and the BCH/USD pair has a limited technical resistance until the $290 level.