Bitcoin Cash Gains 4% Following Positive US Inflation Data
Bitcoin Cash (BCH) rose by 4% on Friday. This built on Thursday’s 3.51% gain. The rise comes after US inflation showed signs of slowing. BCH futures data reveals strong retail interest. Open Interest in BCH futures reached a six-month high. Traders are watching the $600 level closely, with bulls targeting $625.
Strong Retail Demand Boosts BCH Prices
BCH’s price rise follows the US Consumer Price Index (CPI) report. The CPI was 2.7% in November. Bitcoin Cash’s price movement ignores the Bank of Japan’s rate hike to 0.75%, a 30-year peak. Retail traders show growing confidence near a key breakout point.
- BCH futures Open Interest rose 18.69% in 24 hours, reaching $761.48 million.
- The funding rate shifted positive to 0.0016%, from -0.154% earlier.
- This signals renewed bullish interest in BCH futures.
Technical Analysis: Can BCH Surpass $600?
Bitcoin Cash is trading above its 50- and 200-period EMAs on the 4-hour chart. It recently formed a double-bottom near $530 and is moving toward the $591 resistance level. A strong close above $591 could push BCH above $600. Bulls are eyeing the next target at $625.
The 50- and 200-period EMAs are rising, avoiding a bearish Death Cross. Momentum indicators support the rally:
- RSI sits at 64, near the overbought zone.
- MACD moved into positive territory with rising green bars.
If BCH fails to break above $600, it may test support at the 50-period EMA near $560.
