Bitcoin Cash price action lagged behind the market on Sunday as whale retreat, and rapid profit-taking cast shadows on BCH short-term prospects.
By Ibrahim Ajibade
Editor Kirsten Thijssen
Updated
2 mins read
Bitcoin Cash fell 3% on Sunday, August 10, sliding to $561 before staging a partial recovery to $579 by press time. The rejection indicates that BCH failed to reclaim the $600 and hit monthly peaks, similar to the Ethereum, Solana, and Bitcoin markets in recent sessions. Market reports show three key factors behind BCH volatile price trajectory.
First, following an announcement in July, world’s largest stablecoin issuer, Tether is due to USDT support for the Bitcoin Cash network in just 20 days, alongside other low-usage blockchains such as Omni Layer, Kusama, EOS, and Algorand. The wind-down, set for September 1, 2025, will see remaining tokens frozen and minting halted.
The exit of USDT’s $156 billion liquidity could weaken BCH’s role in stablecoin settlements, limiting on-chain demand. On-chain data trends suggest that corporate investors are already taking a cautious stance.
Bitcoin Cash Average Transaction Size | IntoTheBlock, Aug 9, 2025
The second challenge lies in recent whale transaction dynamics on the Bitcoin Cash network.
As seen in the chart above, BCH’s average transaction size dropped by 72% in the past week, from $74,035 on August 4 to $20,591 on August 9, according to IntoTheBlock data. Such a sharp decline suggests that large holders are actively reducing exposure, likely to avoid downside risks from Tether’s imminent exit. In crypto markets, reduced whale activity can thin liquidity and amplify volatility during a turbulent market downswing.
Finally, BCH’s 24-hour trading volume fell sharply following its intraday rejection at $590, according to CoinMarketCap. This decline in turnover points to active profit-taking, where traders exit positions on failed breakouts, further reinforcing short-term selling pressure.
From a technical perspective, BCH remains capped by the $590 to $600 resistance zone, coinciding with the upper Bollinger Band on the daily chart. A successful breakout above $600, backed by strong volume, could clear the path toward $620 and potentially $650. However, the RSI currently sits near 57, suggesting the market has room to move before hitting overbought territory.
In the bearish scenario, failure to retake $590 could trigger a retest of the mid-Bollinger support near $558, with a deeper slide targeting the lower band at $509. A breakdown here could accelerate losses toward the $480 support zone, especially if USDT redemptions reduce liquidity faster than anticipated.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Ibrahim Ajibade is a seasoned research analyst with a background in supporting various Web3 startups and financial organizations. He earned his undergraduate degree in Economics and is currently studying for a Master’s in Blockchain and Distributed Ledger Technologies at the University of Malta.
