BCH Price Plunges Amid Macro Shock and Technical Weakness

The Bitcoin Cash (BCH) price dropped by 5.8% over the last 24-25 hours, largely due to a combination of factors.

A hawkish turn by the US Federal Reserve led to a stronger dollar and reduced appetite for risk assets, including cryptocurrencies. This macroeconomic shock sent the crypto market into a selloff, with Bitcoin (BTC) experiencing a 3-5% intraday drop and a total crypto market cap decline of around 1.8%. BCH, being a leveraged follower of Bitcoin, was heavily affected by this move.

The technical breakdown of BCH also played a significant role in its price drop. A major multi-year support zone had been lost, turning a key demand area into resistance. This weakness, combined with aggressive short selling and liquidations, contributed to the amplified risk-off reaction.