Crypto Analysis Report 6-10-18 Bitcoin Cash More Downside Risk...But A Buy At $650

I last spoke about Bitcoin Cash about one month ago,

Crypto Analysis Report 5-9-18 Bitcoin Cash Hit My 1st Target At $1650, Next Target Is $2600

I talked about price hitting my first target and there was another trade set-up that was triggered.

However, the buyers couldn't take out the time the most recent high (pivot) and the level was breached.

I'm A Great Loser

I showed the price action of the level being breached on a 4 hr chart. On May 10th, there was a quick arrival into the zone and price quickly moved away from the zone as well. However, the sellers eventually won the battle.

NOTE: an error on the two charts above. It a daily demand zone at $1250, not a daily supply zone at $1500.

Several days ago, price broke through and closed above the daily downtrend line, moved up to the daily supply zone at $1500 and pulled back, indicating there are plenty of unfilled sell orders within that zone.

However, I think there is more downside risk for the following reason:

• When price fell from a pivot high of $1844, it formed several supply zones at $1650, $1450 and $1250. For example when price broke the daily downtrend line, price just nip the first immediate supply zone at $1250 and pulled back.

• RSI is below 50. Typically when RSI is below 50, it indicates a downtrend. The flip side holds true as well...when RSI is above 50, it typically indicates an uptrend.

• RSI has not crossed over the RSI downtrend line yet (yellow line).

Which is why I like Bitcoin Cash for a buy at $650. It's low on the curve and the first real level of unfilled buy orders.

This post is my personal opinion. I’m not a financial advisor, this isn't financial advise. Do your own research before making investment decisions.