Bitcoin Cash is on the verge of a technical breakdown, as the cryptocurrency probes towards critical monthly support.
Bitcoin Cash price analysis shows that the cryptocurrency is at risk of moving into a much lower medium-term trading range.
Bitcoin Cash medium-term price trend
Bitcoin Cash is among the weakest of the top coins, with the BCH/USD pair close to turning into negative territory for the year.
Bitcoin Cash technical analysis shows that the BCH/USD is at risk of falling towards the $120 support region.
Bitcoin Cash has been trapped inside the $200 to $280 price range for the majority of the year. Any rallies above this key trading range have quickly been sold.
According to the technical analysis, a bearish breakout under the $200 level could see the BCH/USD falling into a lower price range, between $110 and $150.
It is noteworthy that while the $200 support barrier continues to hold, a counter rally towards the $280 area still remains possible.
Bitcoin Cash short-term price trend
Bitcoin Cash technical analysis shows that the cryptocurrency has a short-term bearish bias while the price trades under the $240 resistance level.
The four-hour time frame shows that a bearish head-and-shoulders pattern has recently formed, following the sharp downward reversal from the $240 area.
ccording to the size of the bearish price pattern, Bitcoin Cash could decline by $35 if the $205 level is broken.
If buyers are able to move the BCH/USD pair back above $240, then a counter-rally towards the $275 level may be forthcoming.
Bitcoin Cash technical summary
Bitcoin Cash technical analysis shows that the cryptocurrency is at serious risk of breaking the technically important $200 support level.
