- Summary:
- Bitcoin Cash is on a decline amid the mixed risk sentiment in the market. While the sentiment has improved, fear is still pulpable.
Bitcoin Cash is on a decline despite recouping some of its losses in the previous session. The mixed risk sentiment in the market has resulted in high volatility among cryptocurrencies. The Crypto fear & greed index, which tracks the emotion driving the market, is currently at the fear side of the spectrum at 42. The figure is a decline from the previous session’s neutral 48 and the prior week’s 50. However, it has improved from last week’s fear level of 29.
Bitcoin Cash technical outlook
BCH/USD has pulled back after rebounding in the previous session. After hitting an intraday low of 514.26 on Sunday, the crypto rebounded to a high of 567.71 on Monday. However, it erased most of the gains by reaching a low of 521.82 on Tuesday. At the time of writing, it was down by 0.98% at 533.23.
After hitting its 5-month low of 384.14 two weeks ago, it has surged by about 38.65%. However, it remains about 67.43% lower than the all-time high it hit in mid-May. On a two-hour chart, it is trading slightly below the 25 and 50-day EMAs.
In the near term, I expect Bitcoin Cash to trade within a tight range of between 520.15 and along the 25-day EMA at 538.56. Below the current support level, the bears are likely to target the psychological level of 500. On the flip side, a bullish breakout will place the next resistance levels at 552.59 and 567.71.
