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BCH posts sharp V-shaped recovery after dipping to $391, as buyers return and momentum builds despite global macroeconomic pressures.
May 31, 2025, 5:36 p.m.
The cryptocurrency market is navigating choppy waters amid escalating geopolitical tensions, with Bitcoin Cash (BCH) showing resilience despite broader market pressure.
BCH recently demonstrated strong technical performance, forming a V-shaped recovery after testing critical support at $391.656, with substantial buying volume establishing a high-volume support level.
This comes as the global cryptocurrency market faces headwinds from the ongoing US-China trade disputes, which continue to introduce uncertainty across financial markets worldwide.
Meanwhile, traditional financial indicators like rising US Treasury yields signal systemic stress that historically creates mixed environments for risk assets like cryptocurrencies.
Technical Analysis Highlights
- BCH tested critical support at $391.656, triggering substantial buying volume particularly during the 01:00-04:00 timeframe.
- A powerful breakout occurred during the 13:00 hour, with BCH surging to $416.958 on the highest hourly volume (28,068 units).
- Price established a new resistance-turned-support level at $409.800, with momentum indicators suggesting potential for continued upside.
- A bull flag pattern formed after the initial impulse move, with decreasing volume during consolidation suggesting potential continuation.
- The $413.000-$413.500 zone represents a key support level that bulls need to defend to maintain upward momentum.
External References
- "What’s Happening in Crypto Today? Daily Crypto News Digest", Cryptonews, published May 29, 2025.
Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy.
AI Boost
“AI Boost” indicates a generative text tool, typically an AI chatbot, contributed to the article. In each and every case, the article was edited, fact-checked and published by a human. Read more about CoinDesk's AI Policy.
Siamak Masnavi
Siamak Masnavi is a researcher specializing in blockchain technology, cryptocurrency regulations, and macroeconomic trends shaping the crypto market. He holds a PhD in computer science from the University of London and began his career in software development, including four years in the banking industry in the City of London and Zurich. In April 2018, Siamak transitioned to writing about cryptocurrency news, focusing on journalism until January 2025, when he shifted exclusively to research on the aforementioned topics.
