Bitcoin Cash Price Prediction: Bullish Reversal Signal Emerges, Open Positions Surge, BCH Aiming for $640

Bitcoin Cash (BCH) made a strong rebound from a key support level at the beginning of the week and continued its upward trend on September 2, re-establishing itself above the 50-day EMA ($548). Derivatives market data shows that open interest (OI) soared nearly 10% within 24 hours, and the funding rate remains high, indicating a recovery in bullish sentiment. The technical and market structure are simultaneously releasing bullish signals, and BCH is expected to challenge the important target level of $640.

The derivation market is warming up, long positions are regaining control of the pace

(Source: CoinGlass)

According to CoinGlass data:

Open Interest (OI): Increased by nearly 10% in the last 24 hours, reaching 563.74 million USD.

Weighted funding rate of positions: 0.0086%, maintaining a high level, indicating that long positions are willing to pay a premium to hold.

This means that the funding inflow into the derivation market is increasing, with buyer strength dominating the trading activity, providing support for the spot and contract prices.

Technical Analysis: Rebounded from $523, targeting $640

(Source: Trading View)

Key support level: 78.6% Fibonacci retracement level at 523 USD (December high of 640 USD → April low of 249 USD)

Current price breakout: 50-day EMA (548 USD)

Target resistance level: December high of 640 USD

Daily chart technical signals:

RSI: Rose to 52, breaking the midpoint, indicating increased buying pressure, with still room to the overbought area.

MACD: Showing an upward trend, about to form a golden cross with the signal line, or trigger a new round of buying.

Trading Strategies and Risk Control

Bullish Scenario:

If the daily closing price remains stable above $548, BCH is expected to continue its pump and challenge the $600–640 range.

The high OI and funding rate in the derivatives market indicate that long positions have short-term driving force.

Bearish Scenario:

If it falls below 523 USD, the rebound structure will be destroyed.

Pay attention to the support level at the psychological level of 500 dollars and 484 dollars (the low point on July 15).

Conclusion and Investment Observation

The current technical structure of Bitcoin Cash and the data from the derivation market both support a short-term bullish outlook. As long as the key support level at 523 USD is maintained, long positions are expected to push the price towards 640 USD. However, traders should still pay attention to changes in the funding rate and macro market sentiment to avoid being trapped in a high after a bullish expansion.