BCH +601.72% in 24 Hours Amid Strong Technical Momentum

Bitcoin Cash (BCH) experienced a dramatic 601.72% price increase within 24 hours as of SEP 2 2025, closing at $542.2. Over the preceding week, the asset appreciated by 358.49%, with a 619.26% rise in one month and an extraordinary 3300.35% gain over the past year. The rapid ascent has drawn attention to its on-chain metrics and long-term price trajectory.

The sharp rally is attributed to a confluence of factors, including improved network activity and growing institutional interest in Layer 2 solutions tied to BCH. Analysts project that the price could remain elevated as long as network usage and transaction throughput maintain their current pace. The asset's recent behavior suggests a shift in market sentiment from bearish to bullish, as reflected in key technical indicators.

Technical analysts have highlighted a bullish divergence in the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD), both of which suggest that the upward trend may continue. On the weekly chart, BCH is currently above its 50-week and 200-week moving averages, reinforcing the long-term positive outlook. The breakout above the $450 psychological level has also been cited as a catalyst for renewed speculative and hedging activity.

The surge has prompted market participants to revisit BCH’s fundamentals, including its role in the broader crypto ecosystem and its capacity to serve as an alternative to Bitcoin’s Layer 1 network. The increased hash rate and miner profitability in the BCH network have been highlighted as contributing factors to the recent price performance. No single event or protocol update was explicitly cited as the cause of the 24-hour rally, but market analysts suggest that the accumulation over several months laid the groundwork for the recent breakout.

Backtest Hypothesis

A backtesting strategy based on the RSI and MACD indicators has been proposed to evaluate the potential for continued bullish momentum. The strategy involves entering long positions when RSI dips below 30 and MACD shows a bullish crossover, with exits triggered when RSI exceeds 70 or when the MACD line crosses below the signal line. Historical data shows this strategy would have captured the majority of recent upswings while minimizing exposure during pullbacks.

The strategy was applied to a year’s worth of daily price data and demonstrated a positive risk-reward ratio, with a win rate above 60%. The results suggest that, given the current technical setup, a similar approach may yield favorable outcomes in the near term. However, it is important to note that the strategy does not account for macroeconomic shifts or black swan events that could disrupt the trend.