Bitcoin Cash Surges to $492 Amid 500% Volume Increase
Bitcoin Cash (BCH) reached a two-month high above $499 due to increased institutional demand amid global market uncertainty. This rally positions BCH close to the significant $500 level, last approached during April.
News Background
- Escalating global trade tensions are driving interest in non-sovereign assets.
- The U.S. and China are intensifying tariff pressures, particularly on the tech sector.
- Risk assets have shown varied responses, but BCH has attracted capital from mid-cap cryptocurrencies.
- The Federal Reserve maintains a hawkish stance with rates at 4.25%-4.50% and further quantitative tightening expected.
- Despite its volatile history, BCH is experiencing renewed institutional interest due to its scalability and quick settlement times.
If momentum continues, BCH may convert the $500 level into long-term support, potentially altering its macro structure as Q3 approaches.
Price Action
BCH's price rose from $461.87 to a peak of $492.08 within 24 hours, driven by strong inflows. The breakout occurred during a spike in trading volume to 152,140 units between 13:00 and 14:00, indicating institutional buying activity.
Price tested the $500 barrier multiple times, retreating to $490.46 before stabilizing. A brief sell-off brought it down to $491.47, but it soon rebounded to $485, demonstrating resilience below resistance levels.
Technical Analysis Recap
- BCH gained 6.5% in 24 hours, moving from $461.87 to $492.08.
- Breakout confirmed with a volume surge exceeding five times the hourly average.
- Price surpassed long-term trendline resistance near $472 and remained above the 100-hour SMA.
- Multiple tests of the $500 barrier indicate persistent psychological resistance.
- Support established at $490.46; current consolidation zone is between $485 and $492.
- RSI is rising; MACD indicates bullish momentum.
- Targets for bulls include $505 or $520 if $500 is decisively breached.