Bitcoin Cash (BCH) has experienced a significant price rally, reaching its highest levels since early December. The cryptocurrency rose over 95% from its April low, trading near $485 amid increased trading volumes, which saw a 75% jump to $757 million. This surge is largely driven by trading on major exchanges such as Binance and HTX, alongside a notable rise in futures open interest to $600 million on platforms including Binance, Bitget, Bybit, and OKX.
The price momentum was bolstered despite a negative weighted funding rate on futures, suggesting some market participants anticipate a correction. Increased exchange inflows, reaching $18 million—an annual high—indicate that some investors may be taking profits. Nevertheless, BCH's technical chart formation shows a strong double-bottom pattern around $284 with a neckline near $640, implying potential for a 35% upside if resistance is breached.
Further, BCH has crossed key moving averages and gained momentum as reflected by the Average Directional Index moving up to 23. The price is consolidating below the crucial psychological $500 level, which BCH has tested multiple times. Institutional interest is stepping up amid global trade tensions and uncertainty, with BCH viewed favorably for its fast settlement times and scalability.
Analysts suggest that if BCH can sustainably break above $500, it may establish new support and alter its longer-term price structure, possibly pushing prices toward $505 or $520. The rally is also occurring in a market context of rising Bitcoin (BTC) prices and broader capital rotation into mid-cap cryptocurrencies.