Bitcoin Cash (BCH) Surges 8% — Is This the Start of a Major Rally?
Bitcoin Cash (BCH) just ripped past resistance with an 8% pump—leaving traders scrambling to catch the wave. But can the rally hold, or is this another crypto head-fake?
Why BCH is heating up
The sudden surge comes amid renewed interest in altcoins—though let's be honest, most 'fundamentals' in crypto are just excuses for price action. BCH's move coincides with Bitcoin flirting with $70K again, proving once more that when BTC sneezes, the whole market catches FOMO.
Technical breakout or dead cat bounce?
Chartists point to clean breaks of key moving averages, while skeptics note the entire altcoin market still runs on hopium and leveraged longs. With trading volumes spiking 300% on some exchanges, someone's making big bets—whether that's smart money or dumb money remains to be seen.
The trader's dilemma
Chasing pumps works until it doesn't—just ask the bagholders of 2021's 'next Bitcoin killers.' But with institutional flows creeping back into crypto, this might be one of those rare times when retail actually front-runs the whales. Or not. Welcome to crypto, where the fundamentals are made up and the technicals don't matter (until they do).
Bitcoin Cash Price Starts Fresh Surge
After forming a base above the $440 level, Bitcoin Cash price started a fresh increase. BCH outpaced Bitcoin and Ethereum to gain over 8%. There was a clear move above the $470 resistance zone.
The price even surpassed $480 and tested the $495 resistance zone. Besides, there was a break above a key bearish trend line with resistance at $472 on the hourly chart of the BCH/USD pair. A high was formed NEAR $505 and the price is now consolidating gains above the 23.6% Fib retracement level of the upward move from the $455 swing low to the $502 high.
Bitcoin cash price is now trading above $485 and the 100-hour simple moving average. Immediate resistance on the upside sits near the $500 level. A clear MOVE above the $500 resistance might start a decent increase. The next major resistance is $505, above which the price might accelerate higher toward the $520 level. Any further gains could lead the price toward the $535 resistance zone.
Are Dips Supported In BCH?
If Bitcoin Cash Price fails to clear the $500 resistance, it could start a fresh decline. Initial support on the downside is near the $490 level. The next major support is near the $480 level or the 50% Fib retracement level of the upward move from the $455 swing low to the $502 high.
If the price fails to stay above the $480 support, the price could test the $470 support. Any further losses could lead the price toward the $450 zone in the near term.
Technical indicators
4-hour MACD – The MACD for BCH/USD is losing pace in the bullish zone.
4-hour RSI (Relative Strength Index) – The RSI is currently above the 60 level.
Key Support Levels – $490 and $480.
Key Resistance Levels – $500 and $505.
