Bitcoin Cash is showing signs of a major price breakout from a pattern that typically leads to big price increases. One crypto analyst believes this could lead to another impressive rally for BCH, similar to what happened a few months ago.
Cryptokartha, who analyzes cryptocurrency price movements on X, pointed out this potential opportunity. He compared the current BCH situation to what happened in October when another crypto called CVX doubled in price after breaking out of a similar pattern.
What you'll learn 👉
Understanding the Bitcoin Cash (BCH) Falling Wedge Breakout
On the price chart, Bitcoin Cash has formed a “falling wedge pattern.” This is when the price moves between two downward sloping lines that get closer together. What’s important is that BCH has now broken above the upper line of this pattern, which is typically a sign that prices might rise significantly.
When we look at the chart, we can see a clear green candle that closed above this resistance line, confirming the breakout. Before this happened, BCH tested the lower line multiple times without breaking down further, showing that sellers were losing strength.
In the analysis shared by Cryptokartha, there’s a projection showing BCH could rise about 68% from where it broke out. This would take the Bitcoin Cash price from around $313 up to about $525, returning to levels last seen in December 2024.
But there’s more to the story. While Cryptokartha’s chart specifically marked a 68% increase target, if we extend the measuring line all the way to the top of the price channel, BCH could potentially see something closer to a 2x increase (or 100% gain). This would match what happened with the CVX example that Cryptokartha mentioned, where a similar pattern led to a price doubling.
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Historical Context and Bitcoin Cash Price Potential
The comparison Cryptokartha made to what happened in October is important. When CVX broke out of a similar pattern then, its price more than doubled. If Bitcoin Cash follows the same path, we could see its value increase by 100% from current levels.
Several positive signs support this optimistic view. Besides breaking above the wedge pattern, Bitcoin Cash has been making higher lows during its consolidation period. This suggests buyers are gradually gaining control. The fact that similar patterns have led to strong rallies in the past also adds weight to the possibility of another significant BCH price increase.
However, there are always risks. For this bullish scenario to play out, Bitcoin Cash must stay above the $310-$320 range. If the price falls back below this level, it could mean the breakout was false, potentially leading to more price drops instead of the expected rally.
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