The altcoin fell to lows of $481 and risked further losses amid Bitcoin weakness.
Bitcoin Cash price has extended its downward trajectory, shedding more than 10% in value over the past 24 hours to touch lows of $481 in early trading on February 24, 2025.
The declines come as bearish sentiment grips the broader cryptocurrency market, with top coins plunging alongside Bitcoin’s fall below $63,000.
While some analysts note that the market could see a potential for a short-term recovery, prevailing headwinds favour sellers.
Other altcoins, including Ethereum, XRP, and BNB, have also marked steep declines as negative sentiment dominates.
Fresh tariff threats from US President Donald Trump, following a recent Supreme Court ruling on Trump’s 2025 tariffs, have triggered risk-off sentiment.
This has been compounded by other factors, including geopolitical uncertainty, which has prompted investors to seek safer assets and steer clear of volatile cryptocurrencies.
Weak sentiment has, in turn, suppressed crypto bids and contributed to huge outflows from digital asset investment products.
Tightening liquidity and elevated liquidations have further weighed on risk appetite, capping Bitcoin’s rebound.
The dump to lows of $62,700 for BTC accelerated losses for Bitcoin Cash amid this outlook, with bears showing greater appetite as daily volume jumped 46% to over $545 million.
Analysts say the macroeconomic picture and potential escalation in US-Iran tensions could cue further losses.
However, resolutions in favour of bulls will help cut the impact of the correction.
As noted, Bitcoin Cash traded as low as $481 on February 24, slipping by double digits in 24 hours as sellers pulled prices from highs of $570.
The fresh selling that has driven BCH below $500 aligns with technical indicators that paint a mostly bearish picture.
Bitcoin Cash’s recent declines have pushed the 50-day moving average toward the 200-day moving average, outlining a possible death cross pattern.
Increased losses and confirmation will come with intensified bearish momentum.
Meanwhile, the RSI and MACD indicators are also slipping lower, signaling bearish control.
According to CryptoQuant, Bitcoin’s slide from near $68k to under $63k coincides with the Coinbase Premium Index (SMA 30) rejecting downward.
The index gauges price premium on Coinbase versus global exchanges, and its downtrend for over a month suggests US selling pressure remains.
Failure to recover in the latest sessions highlights continued institutional hesitation.
Analysts at Bitfinex also share a similar outlook.
If Bitcoin drops to $50k or lower, a cascade of sell-off pressure will exacerbate BCH’s losses.
In the short term, BCH faces continued selling toward $425 and possibly $378.
On the upside, initial resistance is at the $500 mark, and then the moving average levels.
