Bitcoin Cash Soars 8% This Week, Eyes $536 After Breakout Above $500
Bitcoin Cash (BCH) surged past the key $500 level in Thursday's session, delivering an 8% weekly gain and a 4.16% intraday rise.
Quick overview
- Bitcoin Cash (BCH) has surged past the $500 mark, achieving an 8% weekly gain and a 4.16% intraday rise.
- The breakout above $481.50 indicates renewed investor confidence, with potential resistance levels at $520 and $536.60.
- Technical indicators show a bullish crossover with the 50-day EMA above the 200-day EMA, supported by strong Fibonacci retracement dynamics.
- Derivatives data reveals a 7.85% increase in open interest, suggesting growing confidence among traders for further price expansion.
Bitcoin Cash (BCH) surged past the key $500 level in Thursday’s session, delivering an 8% weekly gain and a 4.16% intraday rise. The breakout above the $481.50 resistance signals renewed investor confidence, driven by a clean technical structure and solid follow-through volume.
BCH is now attempting to hold above $505—a year-to-date high. Should this level be secured on a daily close, bulls may aim for the next resistance levels at $520 and $536.60.
From a technical front, the 50-day EMA at $465.80 has decisively crossed above the 200-day EMA at $437.20, confirming a bullish crossover. Price remains elevated above both averages, supported by an ascending trendline dating back to early June. The recent three-bar bullish pattern resembles the “three white soldiers” setup, a historically reliable indicator of continuation in uptrends.
Bitcoin Cash (BCH) Technical and On-Chain Indicators Align
The upward move is underpinned by strong Fibonacci retracement dynamics. BCH has reclaimed the 61.8% retracement at $490, opening the door to the 78.6% level at $556.
Simultaneously, Santiment’s MVRV ratio stands at 0.665—well below the 0.729 threshold that previously triggered profit-taking in March and May. This suggests more room for price expansion before investor positioning becomes overstretched.
Key technical highlights:
- Fibonacci levels: $490 (61.8%), $556 (78.6%)
- MVRV Ratio: 0.665, with upside potential to 1.01 (Dec 2024 peak)
- RSI: 64, maintaining a bullish bias
- MACD: Avoiding bearish crossover, favoring continuation
Derivatives Data Supports Rally Outlook
Data from CoinGlass shows that Bitcoin Cash open interest (OI) jumped 7.85% in the last 24 hours, reaching $471.99 million. The OI-weighted funding rate turned positive at 0.0014%, suggesting traders are leaning heavily into long positions. These metrics signals increasing confidence among crypto traders and align with the bullish breakout in spot prices.
Derivatives snapshot:
- OI: $471.99M (+7.85%)
- Funding Rate: +0.0014% (favoring longs)
Bitcoin Cash (BCH) Trade Outlook: Retracement Entry or Breakout Play
For traders, the setup favors continuation higher. A sustained close above $505 could confirm further upside toward $520 and $536.60. For retracement buyers, the $481.50 level presents a secondary entry point with a stop-loss below $465. Should BCH fail to hold above $499 and form a bearish engulfing candle, a short-term pullback to $465 or even $448 remains possible.
Overall, Bitcoin Cash’s blend of bullish technicals, favorable on-chain metrics, and rising derivatives activity makes the case for a sustained breakout toward mid-$500 levels.
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