Bitcoin Cash rallies 5% – But 3 BCH signals favor more downside

Since making a low of $440.5 on Tuesday, the 21st of April, Bitcoin Cash has rallied 5.77% to trade at $465.9. Its move had been even higher, measuring 7.60% when it had reached a local high of $474.

The swift gains were accompanied by an 8.8% uptick in Open Interest [OI] in the past 24 hours. According to CoinMarketCap data, BCH trading volume was up by 54%.

The Bitcoin Cash bear warning from earlier in April

In a post earlier in April, AMBCrypto had observed that Bitcoin Cash [BCH] had fallen below the $478 former support.

This level was immensely important in the long-term. It was the mid-range level of a range that BCH has traded within for over two years.

It was observed that, though the downtrend was in progress, there was a chance that the altcoin would bounce toward $470.

This bounce has come to pass. The strong recent gains, high OI, and increased trade volume were not signs of bullish conviction, but rather pointed toward buyer exhaustion.

They were fighting against the higher timeframe trend, and this trend was likely to resume. Traders and investors can choose to see the recent gains as part of a relief rally and not a long-term trend reversal.

Evidence for further BCH downside

The evidence was from the weekly BCH chart. The higher timeframes are important, and at the time of writing, the structure was bearish. The swing low at $443 from September 2025 has been broken.

The Liquidation Heatmap showed that the current bounce might extend slightly higher. The dense cluster of short liquidations around $485-$495 could drag prices higher.

This liquidity sweep would likely be followed by a bearish move.

Traders should beware that such a sweep might not occur, if the sellers were highly aggressive.

A daily session close above $486.3 would invalidate the bearish idea laid out here. As things stand, BCH presented a selling opportunity.

Final Summary

• Bitcoin Cash witnessed strong momentum, trading volume, and high Open Interest recently as it rallied to $474 on Wednesday, the 22nd of April.
• The higher timeframe price structure remained bearish. So long as BCH remained below $486, traders can maintain a bearish bias.