- Summary:
- BCH price will likely remain in the woods a while longer as extreme fear persists in the cryptocurrency market.
BCH price is still in the woods; trading below the crucial level of $500 since early December. The downward momentum has been fuelled by the fear that continues to shape the crypto market. On Friday, the crypto fear & greed index was at an extreme fear level of 21, which is similar to Thursday’s reading. Risk aversion has been observable in the crypto market since last month.
BCH price prediction
Bitcoin Cash has edged higher in Friday’s session after easing on the week’s rally on Thursday. After dropping to a one-year low of 348.06 on Monday, the altcoin rebounded for three consecutive sessions to a high of 391.57. However, it erased some of those gains by dropping to a low of 376.77 on Thursday.
At the time of writing, BCH price was up by 2.01% at 384.95. On a four-hour chart, it is hovering around the 50-day EMA and slightly above the 25-day EMA. Nonetheless, it is still below the long-term 200-day EMA.
In the short term, I expect the crypto remain in the bear market as fear continues to define price movements in the market. Notably, it has been trading below the psychologically crucial zone of 500 for over five weeks now. Based on both the fundamentals and technicals, that level will likely remain evasive in the ensuing sessions.
Subsequently, the range between 374.16 and 400.27 will be one to look out for in the near term. A further decline past the horizontal channel’s lower border may have the bears retesting the week’s low of 348.06. On the flip side, a rebound past the resistance zone of 400 will give the bulls an opportunity to push BCH price to the support-turn-resistance level of 429.85, which is along the 200-day EMA.
