Market Overview for Bitcoin Cash/Tether (BCHUSDT) on 2025-09-18

• BCH/USDT traded in a bullish channel on 15-minute chart, forming a bullish continuation pattern.
• Price surged past $630, driven by rising volume and strong RSI momentum, but faced resistance at $640.
• Volatility expanded significantly in the last 8 hours, with Bollinger Bands widening and price hovering near the upper band.
• MACD showed a bullish crossover with positive divergence, while RSI approached overbought territory at 69.
• Fibonacci retracement levels highlighted potential resistance at $648.5 (61.8%) and support at $634.5 (38.2%).

Market Summary and Opening Context

Bitcoin Cash/Tether (BCHUSDT) opened at $593.00 on 2025-09-17 at 12:00 ET, surged to a high of $651.00, and closed at $638.20 as of 2025-09-18 at 12:00 ET. The 24-hour price range was $591.30 to $651.00. Total volume reached 36,290.38 BCH, with $22,716,025 in notional turnover.

Structure and Formations

The 15-minute chart displayed a strong bullish trend, characterized by a series of higher highs and higher lows. A significant bullish breakout above the $630 level was confirmed by a strong green candle with a long lower wick, indicating rejection of previous bearish levels. A potential resistance zone emerged around $640–$645, marked by a bearish rejection candle and a prior consolidation area. A doji formed near $635 during a brief pullback, signaling potential indecision in the market.

Technical Indicators

The 20-period EMA crossed above the 50-period EMA, reinforcing the bullish trend on the 15-minute chart. On the daily chart, the 50-period SMA (not available in this dataset) would be critical to monitor for a longer-term perspective. The MACD line crossed above the signal line with rising histogram bars, confirming strengthening bullish momentum. RSI hit 69, near overbought territory, suggesting a potential pullback is possible. Bollinger Bands widened as the price surged, with the asset closing near the upper band, indicating heightened volatility.

Backtest Hypothesis

The backtesting strategy outlined aims to leverage the bullish momentum seen in the MACD and RSI while utilizing Fibonacci retracement levels to identify key entry and exit points. Given the current market conditions and the observed price action, a buy signal could be triggered when RSI drops below 60 and the price retests a 61.8% Fibonacci level. A stop-loss may be placed just below a key support level of $634.5, with a target near $648.5, aligning with the 61.8% retracement and the upper Bollinger Band. This strategy could be refined in backtesting by incorporating volume divergence as a confirmation filter.