Bitcoin Cash (BCH) demonstrates a 3% rise over the last 24 hours, despite a 2.3% drop over the week. Traders are anticipating its potential to break above the $600 level.
Bitcoin Cash Price and Key Resistance
Bitcoin Cash is trading within a clear ascending channel indicating bullish activity, with higher lows and higher highs. Currently, BCH is approaching an important resistance level around $572, coinciding with the 0.618 Fibonacci retracement level. Breaking above this level would pave the way to the next key levels at $607 and $664, while closing below $520 would invalidate the bullish outlook.
Hidden Bullish Divergence and Potential Upside
A look at the Relative Strength Index (RSI) reveals hidden bullish divergence: BCH price created a higher low while the RSI recorded a lower low. This typically signals that the current price trend may continue upward, suggesting that buyers may be stepping back into the market.
Long Positions and Holder Confidence
Exchange data shows negative netflows for BCH in recent weeks, indicating that more tokens are moving out of exchanges than coming in. This points to accumulation and long-term holding intentions. Additionally, open interest in futures has risen, reflecting increasing trader confidence.
Current data and patterns in BCH price movement suggest that breaking the $572 level may lead to further gains. However, a drop below $520 would invalidate the bullish scenario.
