Bitcoin Cash (BCH) has extended its multi-month corrective decline within a broad descending channel, progressing toward the final leg.
The confluence of Fibonacci levels and price structures suggests a potential bottom could be formed as the last decline unfolds.
BCH Price Analysis
The 4-hour chart shows BCH entrenched in a descending corrective channel, evolving as a WXY pattern from its April 2024 high near $716.
The structure has matured significantly, and price action is approaching the end of wave (e) of Y, suggesting that the broader correction could be concluded.
Subwave (d) was rejected at the confluence of 0.5 Fibonacci retracement ($397.53) and upper channel resistance, and the current move reflects the expected wave e downswing.
Fibonacci retracement from the macro advance highlights key supports at $263.91 and $215.30 (0.786 of the larger move), which align with the projected completion zone for wave Y.
The Relative Strength Index (RSI) also reentered the oversold zone at around 25%, hinting at a potential momentum shift.
The descending wedge pattern formed by converging trendlines further reinforces the likelihood of a reversal if the price respects the lower boundary near $215.
BCH has historically shown strong reactions from this region, not lower than $274 since February 2024.
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Unless broken decisively, this support zone could mark the end of the corrective cycle and the beginning of a new impulse wave upward.
BCH Price Prediction
Zooming into the 1-hour chart, BCH progresses through lower-degree wave (c) of a higher degree (e), potentially the final move before a bottom is set.
The measured structure projects downside targets between $263.91 and $242.67, corresponding to the 0.786 and 1.0 Fibonacci extension levels of wave (a)-(b)-(c).
Should momentum persist, a deep spike toward $215.30 (1.272) or $181.33 (1.618) cannot be ruled out before exhaustion is confirmed.
Current RSI behavior reveals flattening near oversold conditions, with early divergence forming between price and momentum.
This suggests weakening bearish strength even as prices press lower, a common sign preceding trend reversals in terminal corrective patterns.
The descending wedge’s lower boundary also aligns with the 1.272 Fib, reinforcing $215.30 as a critical monitoring level.
If BCH finds support and rebounds from the $242–$215 zone, the next upside reaction could test $292.30, followed by $322.34 (0.618 level), which acts as structural resistance.
A confirmed breakout above $322.34 would solidify the end of the correction and potentially initiate a new bullish sequence.
However, failure to hold $215.30 opens risk toward the deeper 1.618 target at $181.33.
Key Levels to Watch
- Immediate Resistance: $292.30 (0.5 Fibonacci retracement).
- Key Resistance: $322.34 (0.618 retracement, structural barrier).
- Major Resistance: $341.93 (wave (b) high).
- Support Zone: $263.91 (0.786 retracement), $242.67 (1.0 Fib extension).
- Critical Support: $215.30 (1.272 extension, wedge boundary).
- Deep Support: $181.33 (1.618 Fibonacci extension).
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
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