Bitcoin Cash (BCH) Crypto Witnessed Intense Buying Pressure Over the Past Three Days

The price action reflected a bullish reversal, and the BCH price was scaling toward the $350 mark. The increase in trading volume by over 22% was a sign

Bitcoin Cash (BCH) price showed immense buying pressure over the past three days. The price action depicted a bullish reversal as the BCH price scaled toward the $350 mark.

An increase in trading volume by over 22% signaled conviction as bulls began accumulating and anticipated a channel breakout. Notably, over the past few weeks, the Bitcoin Cash price continued losing gains and was capped within a falling channel.

It had a strong support zone around $300, where a triple bottom formation was highlighted. The present market structure depicted a bullish shift as buyers gained traction and attempted to maintain their upper hand.

This week, the Bitcoin Cash price crossed the 20-day and 50-day EMA marks, reflecting aggressive buying pressure and investor speculation.

The $350-$360 region served as a former resistance region since August. It was retested multiple times, but the bulls failed to sustain there and faced rejection.

BCH Price Prediction: Roadblocks At $350

The BCH price has been making lower lows since July, capturing the altcoin’s downtrend. However, it was noteworthy that the previous support zone of $300 eased the drop for a while.

A technical perspective shed more light on the BCH price recovery attempt. At press time, the BCH price was trading at $340.50 with an intraday drop of over 0.20% over the last 24 hours.

Moreover, the RSI retreated from the oversold region, indicating increased buying pressure. At press time, it was noted around 58. A reading above the midpoint 50 suggests that altcoin is gaining bullish momentum.

A glance at the Fibonacci retracement levels adds more insights to the prediction. BCH crypto hovers around the 38.2% level and is eyeing to reach the 50% level, around $360.

While the BCH token’s price rose by 6% in the last 48 hours, it had more to do with the broader market cues. Nevertheless, the altcoin is turning bullish. A break and close above the $360 mark would validate the trend reversal.

Interestingly, the MACD indicator shows an incremental bullish view as the histogram turned green.

Technical Indicators Data | Source: Coinalyze

In addition, the Chaikin Money Flow Index (CMF) indicator reflects a positive value of 0.05, which implies that significant liquidity was entering the market.

Futures Market Data Outlook

Amidst the significant price uptick, the OI-weighted funding rates still favored short contracts, as traders anticipated more declines in the coming sessions. The funding rate was around 0.0074% at press time, reflecting a minor bearish outlook.

Funding Rates Data | Source: Coinglass

Meanwhile, the Open Interest (OI) data painted a different view. It dropped by 7.76% to $227.65 Million, replicating a long unwinding activity in the past 24 hours.

The immediate support zones were $335 and $330, whereas the upside hurdles were around $348 and $356.