Bitcoin Cash dropped after failing to take out a resistance level. Maybe a temporary decline was expected, the rate could come back down to test and retest the immediate downside obstacles before jumping higher.
The price of Bitcoin has slipped lower as well, so the BCH follows BTC as we have a positive correlation between these two cryptos. Still, the decline could be only a temporary one before the crypto develops a new swing higher.
BCH/USD Rejected By Resistance!
BCH/USD dropped after reaching the downside 50% Fibonacci line of the descending pitchfork. Now is back below the weekly pivot point (669.55). The next downside target stands at the 608.82 level.
The area between 558.44 and 445.00 levels represents a major support area. Also, the descending pitchfork's lower median line (LML) is seen as major dynamic support. It has stopped the last sell-off.
Forecast!
A bullish closure above 735.65 high could really announce an upside movement towards the descending pitchfork's median line (ml).
