On 4-hour chart, BCH/USD price is approaching a strong support in the region of 1218.75 (Murray [7/8]).
There is a chance of an upward rebound, while its breakdown would allow the fall to continue.
The breakdown of the level 1218.75 will let BCH/USD fall to the level of 1187/50 (Murray [6/8]).
If the instrument cannot consolidate below the level of 1218.75, it will begin to grow to the area of 1250.00 (Murray [8/8]), which is the middle line of Bollinger Bands.
Technical indicators reflect the maintenance of the downward potential.
Bollinger Bands are slightly leaned downwards, reflecting the moderate developing of the downward trend.
Stochastic’s lines are pointed downwards and are reaching the oversold area.
MACD histogram is ready to enter the negative zone and form a sell signal.
Support and resistance
Support levels: 1218.75, 1187.50, 1125.00.
Resistance levels: 1250.00, 1281.25, 1312.50.
Short positions can be opened below the level of 1218.75 with the target at around 1187.50 and stop loss 1228.75.