Bitcoin Cash (BCH) leads the crypto market rally today. This altcoin has surged 5.6% in the past 24 hours, reaching an 8-month high of $526.7 as of the time of writing.
With technical indicators giving positive signals, BCH's price seems ready to extend its upward trend in the short term.
Bulls control BCH
Data from BCH's BBTrend indicator shows that the upward trend is strengthening, with the indicator currently at 9.4. Thus, it is highly likely that the price will continue to rise in the short term.
BCH BBTrend chart | Source: TradingView
On the daily chart, the blue histogram bars of BBTrend have been continuously expanding over the past few days – a clear sign that buying pressure is increasing along with investment demand for BCH.
The BBTrend indicator measures the strength and direction of a trend based on the expansion and contraction of Bollinger Bands.
When this indicator shows increasingly larger blue histogram bars over several consecutive sessions, it indicates that the upward trend is being solidified.
For BCH, this pattern represents buyers gaining control, with increased volatility trending upward and the price likely continuing to rise.
Additionally, the Smart Money Index (SMI) also supports the bullish outlook. At the time of writing, the indicator is at 85.1, up over 220% since June 5.
BCH SMI chart | Source: TradingView
The SMI index tracks the activity of seasoned or institutional investors by analyzing market behavior at the beginning and end of trading sessions. When the SMI declines, it implies selling activity or diminished confidence from this group of investors — reflecting a pessimistic sentiment or an expectation of falling prices.
Conversely, when the SMI indicator rises, it indicates that key investors are increasing their buying activity, reflecting a growing confidence in the asset. Therefore, the stable upward momentum of the SMI over the past few weeks suggests that strong buying pressure is supporting the current uptrend of this coin.
BCH aims for higher peaks as buying pressure increases
BCH may continue to climb higher in the coming days, thanks to increased demand driving buying pressure. If the accumulation trend continues, this coin could extend its rise towards the $556.4 mark.
However, if demand weakens and profit-taking occurs, the price of BCH risks dropping to the $490.8 region.
BCH price analysis | Source: TradingView
If this support level is broken, BCH could continue to slide deeper towards the $444.7 region.
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