BCH has recently shown a noteworthy oversold signal. On the 4-hour chart, the $BCH price approaches the recent support zone, with the RSI indicator dropping below 35 into oversold territory, while trading volume has increased by more than 20% compared to the average level. This combination of volume and price action provides technical support for a rebound.

From a trading perspective, the current entry opportunity is relatively clear. The price is near the support level around 596.8, which is a good entry point for a long position. It is recommended to take a light position, controlling each trade to about 0.7%, and strictly setting a stop loss below 580.86—risk is limited to approximately 2.67%, making this a relatively balanced setup.

The upper target is divided into three stages. The first target is at 620.71 (risk-reward ratio 1.5:1), which is the nearest resistance zone. If a breakout proceeds smoothly, the second stage can aim for 636.66 (risk-reward ratio 2.5:1). If momentum continues, a more aggressive target is at 660.57 (risk-reward ratio 4.0:1). However, these targets depend on the price effectively escaping the oversold condition.

Currently, the technical strength score is 90/100. Key supporting factors include support at moving average key levels, RSI oversold confirmation, volume expansion, and moderate resistance at key levels (60% strength). The order book shows a buy-sell ratio of 1.04:1 and a long-short ratio of 1.24:1, indicating market sentiment is neutral to slightly weak.

It is important to note that this signal is valid for 480 minutes (4-hour timeframe), and will expire after 15:00 on January 15, 2026. Additionally, the market is currently in a consolidation phase, with an unclear trend; the ADX strength is 48.1, indicating the directional strength is not yet strong. Cryptocurrency markets are highly volatile, so strict stop-loss execution and cautious operation based on your risk tolerance are essential.