Bitcoin Cash weekly report: downside pressure as price drops, but market activity remains strong

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Bitcoin Cash falls 8.52% this week

Highlights

Bitcoin Cash completed its second halving, cutting mining rewards to 3.125 BCH per block and reinforcing its fixed supply narrative.
Ecosystem development persists, with a major protocol upgrade set for May 2026 to improve smart contract functionality and transaction speed.
Weekly trading saw 24-hour transaction volumes above $746 million and market capitalization above $12 billion as a key retest zone and institutional interest drove engagement.

Halving, upgrades, and institutional focus fuel active trading this week

Bitcoin Cash recently completed its second halving, reducing mining rewards to 3.125 BCH per block and underscoring its fixed supply model. The blockchain is preparing for a major protocol upgrade in May 2026 to enhance smart contract capabilities and speed, demonstrating continued ecosystem development. Trading activity remains robust, with 24-hour transaction volumes exceeding $746 million and the asset maintaining a market capitalization above $12 billion. Market engagement has also increased due to a technically significant retest zone after a rounded bottom breakout and renewed attention from institutional players.

Mixed signals emerge as bullish bias faces increased volatility

On the weekly chart, BCH holds above all key moving averages (MA-20, MA-50, MA-200) with Ichimoku's Kijun line at $556.40 serving as dynamic support. The weekly MACD signal remains bullish, though ADX is neutral, suggesting a lack of strong trend directional force. Oscillator readings are mixed: weekly RSI is bullish, but Stoch RSI points to a strong sell, while the CCI is positive. BBP signals overbought conditions and the Awesome Oscillator confirms upward bias, yet with BCH's close near the mid-point of the $574.50 – $667.00 range, elevated volatility and selling pressure are evident.

Rangebound outlook expected as rebound risk tempers downside threat

Over the next five to seven trading days, BCH is projected to trade within the $561.10 to $621.00 range, consistent with current weekly technical levels. The upside movement risk is moderate, with a roughly 50% probability of a continued rebound, while the downside scenario appears less likely based on present momentum. In the baseline expectation, BCH is likely to remain rangebound between $561 and $621. A decisive push above $621 could trigger new weekly highs, while a break below $561 would expose the asset to further declines toward the next support zone.

Parshwa Turakhiya, analyst, observes that Bitcoin Cash weathered a notable 8.52% slide this week, yet the price stands resiliently above its key moving averages. He sees the technical setup as underscoring medium- and long-term bullish sentiment, supported by strong on-chain activity and renewed institutional interest after the halving event. Oscillators remain mixed, with overbought signals and persistent volatility, keeping the trading outlook scenario-driven. Turakhiya expects BCH to stay confined between $561.10 and $621.00, with a balanced chance for a bounce or further pullback. "This week, I’m watching the $621 mark for possible upside breakout and remain alert to buyer confidence, but until then, I anticipate more rangebound moves and high volatility."

Last time we reported that Bitcoin Cash was showing short-term selling pressure against resilient medium- and long-term support. Previously, it was noted that momentum indicators are mixed, with the MACD revealing strong buy signals and suggesting likely consolidation between major support and resistance levels.

Source of Data: BCH Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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