Bitcoin Cash Price Rises Above $600
Bitcoin Cash (BCH) is trading near $600 as of Friday. The price rose over 3% during the day. BCH is close to breaking out of a symmetrical triangle pattern on the 4-hour chart. This rally is supported by growing interest in BCH futures and on-chain activity. Lower profit-taking also reduces selling pressure, helping the price rise.
Growing Demand and Positive Market Sentiment
- Futures Open Interest (OI) increased by 5.56% in 24 hours, reaching $454.51 million.
- The rise in OI shows more traders are opening long positions on BCH futures.
- The OI-weighted funding rate rose to 0.0067% from 0.0039%, indicating renewed bullish sentiment.
- The Long/Short ratio stands at 1.1088, showing more long positions than short ones.
Large Investors Show Confidence in Bitcoin Cash
Selling pressure has decreased as fewer holders are booking profits. Network Realized Profit/Loss (NRPL) data from Santiment shows profit-taking dropped to 17,200 BCH. The NRPL has stayed below 3 million BCH for two weeks, signaling a steady trend.
The percentage of BCH supply in profit rose to 88.23% on Friday, up from 83.75% on September 30. Large wallets holding between 10,000 and 1 million BCH increased their holdings to 8.76 million BCH from 8.69 million BCH since August 31. This shows growing confidence among big investors.
Potential Breakout Rally Ahead
Bitcoin Cash is testing the $600 resistance level. A strong close above this level could confirm a breakout from the triangle pattern. This may trigger a rally targeting $615 and then $628, based on Fibonacci retracement levels.
Technical indicators support this bullish outlook. The Relative Strength Index (RSI) rose to 64, leaving room before overbought levels. The MACD also crossed above its signal line, signaling a trend reversal to the upside.
If BCH fails to break above $600, the price could drop to the 200-day Exponential Moving Average (EMA) near $579.
