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$BCH Faces Key Resistance After Impulsive Bounce — Momentum Cooling
Bitcoin Cash (BCH/USDT) posted a strong intraday recovery, climbing over 2% after a sharp impulsive move from the $563 demand low. However, recent price behavior suggests momentum is beginning to cool as BCH approaches a key supply zone.
Market Structure
BCH printed a V-shaped recovery from the $560–565 demand area, breaking above the prior consolidation range at $577–580. Structure remains short-term bullish, but price is now consolidating below resistance, signaling a potential pause or pullback before continuation.
Key Levels
Support:
$580–577 (prior breakout zone)
$565 (major demand / liquidity sweep low)
Resistance:
$598–605 (supply & recent rejection zone)
$640 (upper bullish target if continuation holds)
Volume & Flow Analysis
Strong inflows were observed, including multiple $2M+ USDT spikes, aligning with the impulsive price move.
Whale activity remains supportive, with minimal sell pressure during pullbacks — a positive sign for mid-term structure.
However, volume expansion has slowed, indicating reduced follow-through after the breakout.
Momentum & Risk Factors
MACD has printed a bearish cross, hinting at weakening short-term momentum.
RSI cooled from overbought to neutral, reinforcing the idea of consolidation rather than immediate continuation.
Repeated rejections near supply suggest sellers are active above $600.
Outlook
As long as BCH holds above $577, the bullish structure remains intact. A clean reclaim of $605 with volume could open the path toward $640. Failure to hold the breakout zone increases the risk of a deeper pullback into demand.
Bias: Cautiously Bullish (structure intact, momentum cooling)
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