Bearish Flag Defines Short Term Range
BCH price remains under pressure amid the risk-off aversion. The crypto fear & greed index has been on the fear end of the spectrum since last week. In Wednesday’s session, it was at 34 compared to the previous session’s 40.
The trend observed in Bitcoin Cash is comparable to that of other cryptocurrencies. For instance, Bitcoin is trading within a rather tight range of between $59,020 and $56,790.10. At its level, the crucial level of $60,000 may remain evasive in the short term. Dogecoin and Ripple are on a similar trajectory.
BCH price prediction
Bitcoin Cash price is on a rebound after its plunge late last week. After hitting a one-month low of 532.16 on Sunday, it has since surged by about 7.85%. At the time of writing, it was up by 0.54% at 573.78.
Despite the recorded gains, the prevalent risk-off sentiment is expected to limit its upward potential in the short term. In fact, the formation of a bearish flag signals that BCH price will remain under pressure in the ensuing sessions. On a four-hour chart, it is trading along the 25-day EMA and slightly below the 50-day EMA.
In the near term, I expect the support-turn-resistance level of 600 to remain evasive. BCH price will likely remain within a horizontal channel with 557.72 and 590.83. Below the channel’s lower border, the bears will probably retest the support zone at 544.36.
