According to CoinDesk Research’s technical analysis data model, It broke above $550 in a burst of heavy volume, then cooled into a narrow band as traders assessed whether the new support would hold.
Technical Analysis Highlights
- Path and Result: BCH rose from $540.24 to $554.52 for a 2.6% session gain, setting higher lows and confirming an uptrend structure.
- Breakout Moment: The momentum started in Asian hours when the price surpassed $547 at 1 am UTC; the breakout candle printed 130,078 units.
- Volume Context: During the move above $550, trading was 328% above average, indicating strong participation behind the breakout.
- Post-Move Check: A pullback to $553.58 in the last hour tested the area just above the breakout zone.
- Weekly Context (vs. BTC): The model sees 4.8% weekly gains for BCH versus a 1.2% drop for bitcoin over the same period.
What do the patterns mean?
- Breakout with Confirmation: The breakout of $547 first and $550 later, with heavy activity, indicates that buyers were not alone: there was depth behind the move.
- Retest of Support: A quick drop to $553.58 after the breakout is a normal “check” to see if new buyers defend the level; $553.50 is the line the model is looking at.
- Constructive structure: The model’s higher lows at $528.55 and $534.36 and an ascending trend line from October 30 remain intact, even as a lower high of $558.25 is expected.
Support and Resistance Map
- Support (closest): $553.50 (just tested).
- Support (rebreakout test): $547 (resistance turned support).
- Trend reference: October 30 ascending line is above $534; previous higher lows at $534.36 and $528.55.
- Resistance (immediate): $558.25 (previous high).
- Short-term band: between $553 and $556 defines the current consolidation chart.
Volume image
- High bar: 130,078 units at 1 am UTC on breach of $547.
- Featured Share: +328% vs. average over the period to $550.
- After the Momentum: The model sees elevated activity even on the small pullback, consistent with active price discovery.
Positioning signals
- Options Interest: The model highlights increased buying interest at the November strike prices of $560 and $575, consistent with traders plotting bullish checkpoints (this is a positioning color, not a forecast).
Risk framework
- If support holds: Previous high of $558.25 is the immediate revision (about 0.9% from the session close cited in the model).
- If support fails: A loss of $553.50 could invite a retest of $547 (the breakout level now seen as support).
- Stop Zone Reference: The model marks below $534.36 as a logical line for risk control within the uptrend structure.
CoinDesk 5 (CD5) Index Context
- CD5 Window: October 30 at 3 pm UTC to October 31 at 2 pm UTC: CD5 rose 1.43% to $1,920.74, with momentum above $1,920 between 4 and 5 am UTC and a daily range of 4.34%, indicating active price discovery in major currencies.
Disclaimer: Portions of this article were generated with the help of artificial intelligence tools and were reviewed by our editorial team to ensure accuracy and compliance. our standards. For more information, see CoinDesk’s full AI policy.
