Bitcoin Cash (BCH): A Golden Cross and Surging Volume Signal a Strategic Entry Point

Bitcoin Cash (BCH) has emerged as a compelling case study in the interplay between technical momentum and market capitalization expansion. As of late September 2025, the cryptocurrency has not only confirmed a classic golden cross—a bullish signal where the 50-day simple moving average (SMA) crosses above the 200-day SMA—but also witnessed a surge in trading volume and on-chain activity that suggests a shift in market sentiment. For investors, this confluence of technical and fundamental factors raises the question: Is BCH at a strategic entry point?

Technical Momentum: The Golden Cross and Beyond

The golden cross, a time-tested indicator of trend reversals, has long been a focal point for traders. In BCH’s case, the 50-day SMA reclaimed the $548 level, trading above both the 7-day ($549.63) and 200-day ($427.23) SMAs [5]. This crossover, confirmed by data from Coinbase and CoinMarketCap, signals a transition from consolidation to an uptrend [2]. The price’s reclamation of the 50-day exponential moving average (EMA) further underscores renewed buying pressure, with the RSI stabilizing at 51.70—a neutral reading that leaves room for upward movement [5].

Meanwhile, the Moving Average Convergence Divergence (MACD) has shown weakening bearish momentum, hinting at a potential bullish crossover. These indicators collectively suggest that BCH’s short-term trajectory is aligned with a broader bullish narrative. Notably, the price’s rebound from a critical support level—coupled with a 403.6% 24-hour surge to $543—has drawn comparisons to historical breakout patterns [4].

Volume and On-Chain Activity: A Surge in Confidence

Technical signals gain credibility when corroborated by volume dynamics. In late September, BCH’s 24-hour trading volume spiked by 45% to $639.34 million, a stark contrast to the anemic $365 million recorded on September 1 [1]. This surge, combined with a 10% increase in open interest to $563.74 million, reflects heightened trader participation and capital inflows into derivatives markets [3].

On-chain metrics add further weight to the bullish case. Whale activity—defined as large transactions exceeding $100,000—surged by 122% in a week, signaling accumulation by institutional or high-net-worth investors [1]. Additionally, the Velma hard fork in May 2025, which introduced VM Limits and BigInt CHIPs, has enhanced BCH’s programmability, positioning it as a low-cost alternative to Ethereum and Solana in decentralized finance (DeFi) applications [3].

Market Capitalization Expansion: A New Benchmark

BCH’s market capitalization has expanded to $11.86 billion as of September 3, 2025, reflecting a 3051.78% annual gain [4]. This growth is not merely a function of price appreciation but also a result of increased utility. The Velma upgrade’s focus on smart contracts and DeFi has attracted developers and users seeking scalable, low-fee solutions. Analysts project that if BCH sustains its current trajectory, it could test $600–$700 resistance levels by month-end, with a base-case target of $634 and a bullish scenario reaching $800 [2].

However, risks remain. The Tether USDT phase-out from BCH’s SLP token standard by September 1 has introduced liquidity concerns, potentially pressuring the price if adoption of alternative stablecoins lags [5]. A failure to break above $700 could trigger a retracement to $520 or even $450, depending on broader crypto market conditions [3].

Strategic Entry Point: Weighing the Risks and Rewards

For investors, the golden cross and surging volume present a strategic entry point, but caution is warranted. The key resistance at $700 and support at $520 will be critical in determining whether BCH’s rally is a short-term spike or the start of a sustained bull run. Technical indicators suggest that a breakout above $600 could validate the long-term uptrend, while a breakdown below $550 would signal renewed bearish pressure.

Institutional interest, as evidenced by open interest and whale activity, adds a layer of credibility to the bullish case. However, investors must also consider macroeconomic factors, such as the broader crypto market’s reaction to macroeconomic data and regulatory developments.

Conclusion

Bitcoin Cash’s golden cross and surging volume in September 2025 reflect a rare alignment of technical and fundamental momentum. While the market capitalization expansion and Velma hard fork upgrades position BCH as a viable alternative in the DeFi space, the path forward is not without risks. For those willing to navigate the volatility, the current price action offers a compelling case for a strategic entry—provided they remain vigilant to both on-chain signals and macroeconomic headwinds.

Source:
[1] Bitcoin Cash (BCH) Price, BCH Price, Live Charts, and Marketcap [https://www.coinbase.com/price/bitcoin-cash]
[2] Bitcoin Cash Price Prediction for September 2025 [https://thecurrencyanalytics.com/altcoins/bitcoin-cash-price-prediction-for-september-2025-192394]
[3] Bitcoin Cash Price Forecast: BCH targets $640 amid bullish reversal [https://www.fxstreet.com/cryptocurrencies/news/bitcoin-cash-price-forecast-bch-targets-640-amid-bullish-reversal-open-interest-surge-202509020524]
[4] BCH +403.6% in 24 Hours Amid Strong Momentum [https://www.ainvest.com/news/bch-403-6-24-hours-strong-momentum-2509]
[5] Bitcoin Cash (BCH) Channel Breakdown: A Pivotal Technical Inflection Point for Traders [https://www.ainvest.com/news/bitcoin-cash-bch-channel-breakdown-pivotal-technical-inflection-point-traders-2509/]