Bitcoin Cash (BCH) Tests Resistance as Analysts Warn of $475 Retest

On February 11, Bitcoin Cash (BCH) traded at $510 on Wednesday after dipping by 2.03% intraday due to increased pressure in the broader altcoin market. BCH’s trading volumes declined by 0.88%, reaching $469.73 million. BCH has also gone down by 2.93% over the last seven days, according to CoinMarketCap data.

Source: CoinMarketCap

BCH Faces Ongoing Resistance Pressure

In an X post, analyst CryptoPulse highlighted that the BCH price has been experiencing significant price compression below the key resistance level. The analyst added that the BCH price has been capped below the $540 level for the last several days. 

He added that another rejection at the $540 level would likely send the BCH price toward the $475–$490 fair value gap. According to the analyst, the BCH price would likely react at the $475-$490 zone. The BCH price would invalidate the current setup if it dips below the $440 level.

Source: X

Moreover, another analyst, Crypto Jobs, mentioned that the BCH price has been trading within the broader market context. The coin price has been showing significant wick formations at the $430 demand zone. 

He added that the token price is showing signs of buying pressure at the $430 zone, which is also showing signs of visible support at the $430 zone. 

Source: X

According to the analyst, the cryptocurrency price is currently trading within the broader context of the $545-$440 range. He added that the token price is likely to trade within the $545-$440 range until the market direction is clear. The coin price may retest the $480-$460 zone if the current resistance holds.

Source: X

Also Read: Ethereum (ETH) Tests $2,080 Resistance Amid Rising Bitcoin Dominance Impact

Volume Rises as Open Interest Falls

The CoinGlass data showed changes in the market position. Trading volume saw an increase of 7.78% to $627.26 million. Open Interest decreased by 2.98% to $681.81 million, showing lower leverage positions taken by traders. The OI Weighted Funding Rate stood at 0.0040%.

Source: CoinGlass

RSI and MACD Readings Suggest Limited Buyer Strength

The Relative Strength Index stood at 41.64 on the daily chart. The reading was lower than the middle point, showing weak momentum. The RSI moving average stood at 39.08, showing weak recovery momentum despite the reduction in selling pressure.

The Moving Average Convergence Divergence (MACD) showed signs of stabilizing the bearish pressure. The MACD line stood at 0.17, with the signal line remaining at -19.99. This showed stabilizing pressure as the gap between the two lines narrowed. The histogram showed reduced pressure as the selling volume decreased.

Source: TradingView

Investors are closely monitoring how the price responds to the $545 resistance and the $440-$460 support zone as the token trades within a clearly defined range.

Also Read: Bitcoin Cash Falls Below $600 as Market Tracks $595 Rebound