What could affect the price of BCH?
Bitcoin Cash (BCH) shows promising technical improvements but faces some risks in its ecosystem.
- Network Upgrade (Positive) – The May 2025 Velma upgrade boosts smart contract capabilities.
- Tether Phaseout (Mixed) – USDT tokens will no longer be redeemable on Bitcoin Cash’s SLP chain after September 1, 2025.
- Whale Activity (Positive) – Large holders bought 66,000 BCH in July 2025, signaling strong interest.
Deep Dive
1. Network Upgrade & DeFi Growth (Positive)
Overview:
In May 2025, Bitcoin Cash underwent the Velma hard fork, which added new features like VM Limits and BigInt support. These upgrades allow for more advanced smart contracts and increase computing power by 100 times. Developers are now exploring decentralized finance (DeFi) projects on BCH, such as stablecoins and cross-chain bridges.
What this means:
These improvements could attract developers and users looking for a faster, lower-cost alternative to Ethereum. Historically, BCH’s price rose 14% in the two months following similar upgrades.
2. Tether’s SLP Withdrawal (Mixed)
Overview:
Starting September 1, 2025, Tether stopped issuing and redeeming USDT tokens on Bitcoin Cash’s Simple Ledger Protocol (SLP) chain. However, existing USDT tokens on SLP can still be transferred. The SLP chain accounts for less than 0.1% of BCH’s daily trading volume of $414 million.
What this means:
This change has little direct impact on liquidity but suggests less confidence from third parties in BCH’s secondary chains. Traders might shift their activity back to the main BCH network, which could increase its usage.
3. Whale-Driven Speculation (Positive)
Overview:
On July 30, 2025, large holders (whales) who control more than 1% of BCH supply bought 66,000 BCH, worth about $38 million. This was the biggest single-day purchase since BCH’s price peaked at $526 in July. At the same time, open interest in BCH futures increased by 27% to $578 million.
What this means:
Heavy buying by whales can push prices up but also adds volatility. A similar whale buying spree in July 2025 was followed by a 16% price drop within two weeks as profits were taken.
Conclusion
Bitcoin Cash’s future price depends on turning technical upgrades into real-world use while managing price swings caused by large investors. The $600 price level, last tested on August 7, 2025, is a key resistance point. Breaking above it could lead to a target near $664, based on Fibonacci analysis.
Will BCH’s growing developer activity help overcome the “pump-and-dump” reputation from its 2017 split?
What are people saying about BCH?
Bitcoin Cash traders are divided between optimism for a breakout and concerns about a price correction, with the $600 mark acting as a crucial point. Here’s the summary:
- Technical analysts are targeting prices above $600 after a breakout from a long-term pattern 🚀
- Large investors ("whales") are increasing activity, even though overall network use is low 📉
- Upcoming network upgrades are sparking interest in decentralized finance (DeFi) applications 🤖
- Short-term traders are preparing for price swings near key support levels 🛡️
Deep Dive
1. @VipRoseTr: Bullish outlook with a $1,157 target
"Breaking out of a 2-year downward channel – a cup & handle pattern suggests over 70% upside if $776 is surpassed."
– @VipRoseTr (82K followers · 287K impressions · 2025-09-05 22:16 UTC)
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What this means: This is positive for Bitcoin Cash because breaking through resistance that has held for years often triggers automated trading and a rush of buying. The $776 level matches a key price point from BCH’s 2017 bull market.
2. @ColinTCrypto: Whale-driven rally but weak user activity
"The BCH/BTC trading pair hit a bottom, but active addresses are at a 6-year low, indicating price pumps are speculative rather than driven by real adoption."
– @ColinTCrypto (116K followers · 412K impressions · 2025-06-28 00:11 UTC)
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What this means: This is neutral for Bitcoin Cash because while the technical charts suggest potential gains, the low number of daily active users (down 93% compared to 2021) raises questions about how sustainable the rally is.
3. CoinDesk: Derivatives data shows strong bullish signals
"Bitcoin Cash open interest reached $578 million on July 5, up 27% week-over-week — the highest since 2021 — with funding rates turning positive."
– CoinDesk (3.2M followers · 2025-07-01 14:00 UTC)
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What this means: This is a good sign for BCH because rising open interest and positive funding rates usually come before strong price rallies. However, it also means there’s a risk of forced selling if momentum fades.
4. @open4profit: Support at $580 under pressure, bearish outlook
"Bitcoin Cash fell below $590 support — the next key level is $574. Breaking this could lead to an 8% drop to $540."
– @open4profit (64K followers · 189K impressions · 2025-09-04 20:45 UTC)
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What this means: This is negative for BCH because losing the $580-$590 support zone might trigger stop-loss orders, pushing the price down further. This is especially concerning given that 24-hour funding rates have dropped 41% year-over-year.
Conclusion
The outlook for Bitcoin Cash is mixed. Optimists point to technical breakouts and increased activity from large investors, while skeptics highlight weak network usage and risks from leveraged trading. The $600 level is key: closing above it on a weekly basis would confirm the first major breakout since 2021, while failing to hold it could lead to a retest of $540. The upcoming Velma upgrade in May 2025, which aims to boost DeFi adoption, remains an important factor that could influence demand.
What is the latest news about BCH?
Bitcoin Cash is experiencing changes in stablecoin support and new excitement around ETFs. Here’s a quick summary of the latest news:
- Grayscale Applies for BCH ETF (September 10, 2025) – Grayscale is seeking approval for a Bitcoin Cash ETF, which could bring more institutional investors.
- Tether Stops USDT Support on BCH Chain (September 1, 2025) – Tether has ended direct USDT issuance on the Bitcoin Cash SLP network, raising questions about liquidity in the BCH ecosystem.
- Important Technical Upgrade Activated (July 29, 2025) – New features like VM Limits and BigInt improve Bitcoin Cash’s smart contract abilities.
In-Depth Look
1. Grayscale Applies for BCH ETF (September 10, 2025)
What happened:
Grayscale Investments filed paperwork with the U.S. Securities and Exchange Commission (SEC) to launch a Bitcoin Cash ETF, along with ETFs for Litecoin and Hedera. This follows the approval of Bitcoin and Ethereum ETFs earlier in 2025, showing growing interest from big investors in altcoin ETFs.
Why it matters:
If approved, this ETF could bring more institutional money into Bitcoin Cash, making it more attractive for investors looking to diversify their crypto holdings. However, the SEC remains cautious about approving ETFs for coins other than Bitcoin and Ethereum, so there are still regulatory challenges ahead. (BTCHaber)
2. Tether Stops USDT Support on BCH Chain (September 1, 2025)
What happened:
Tether, the company behind the popular stablecoin USDT, stopped issuing and redeeming USDT tokens on the Bitcoin Cash SLP network. While users can still send existing USDT tokens on BCH, Tether will no longer provide official liquidity support on this chain.
Why it matters:
This move is somewhat negative for Bitcoin Cash. Without Tether’s active support, liquidity for USDT on BCH may decrease, which could hurt decentralized finance (DeFi) projects that rely on stablecoins. Some projects might move to other blockchains like Ethereum or Tron where USDT support remains strong. (MEXC)
3. Important Technical Upgrade Activated (July 29, 2025)
What happened:
Bitcoin Cash rolled out upgrades called VM Limits and BigInt. These changes allow for bigger and more complex smart contracts and enable more precise calculations. This is designed to help DeFi applications and improve compatibility with other blockchains.
Why it matters:
This upgrade is a positive step for Bitcoin Cash’s future. It makes the network more attractive to developers looking for affordable alternatives to Ethereum’s often expensive fees. However, the success of these upgrades depends on how well the BCH community grows and how competitors like Solana and Ethereum’s Layer 2 solutions respond. (Levex)
Conclusion
Bitcoin Cash is at a crossroads, balancing new institutional interest through ETF filings with changes in stablecoin support and important technical improvements. While regulatory hurdles remain for ETFs, BCH’s focus on scalability and lower costs keeps it positioned as a practical blockchain for payments and smart contracts. The big question is: Will Grayscale’s ETF application help Bitcoin Cash evolve from just “digital cash” into a versatile utility asset?
What is expected in the development of BCH?
Bitcoin Cash is moving forward with key upgrades:
- OP_EVAL & Pay-to-Script (2026–2027) – These updates will allow more advanced smart contracts and make scripting more flexible.
- Block Time Reduction Proposal (TBD) – A plan to speed up transaction confirmations by reducing block times.
In-Depth Look
1. OP_EVAL & Pay-to-Script (2026–2027)
What’s happening?
Bitcoin Cash is planning to roll out OP_EVAL and Pay-to-Script upgrades between 2026 and 2027. These builds on improvements made in May 2025, like VM Limits and BigInt upgrades. OP_EVAL will let developers create more complex smart contracts, while Pay-to-Script will simplify multi-signature transactions and improve compatibility with older systems.
Why it matters:
This is good news for Bitcoin Cash (BCH) because it could attract developers interested in decentralized finance (DeFi) who want a cheaper alternative to Ethereum. With better scripting, BCH could support decentralized exchanges, lending platforms, and cross-chain bridges. However, technical challenges or delays might slow down how quickly these features are adopted.
2. Block Time Reduction Proposal (TBD)
What’s happening?
There’s a proposal to cut the block time from 10 minutes to 2 minutes to speed up how fast transactions are confirmed. This change would need agreement from miners and node operators, and there’s no set date for when it might happen (Levex).
Why it matters:
This could be a positive change for BCH. Faster blocks mean quicker payments, which is great for everyday users and could help BCH compete with faster blockchains like Solana. On the downside, shorter block times might cause more orphaned blocks (blocks that don’t get added to the main chain), so miners will need to coordinate carefully.
Conclusion
Bitcoin Cash is focusing on making its smart contracts more powerful and speeding up transactions. The OP_EVAL and Pay-to-Script upgrades could make BCH a strong, low-cost option for DeFi projects. Meanwhile, the block time reduction proposal shows ongoing efforts to improve scalability. These changes could help BCH stand out against Ethereum and other fast Layer 1 blockchains.
What updates are there in the BCH code base?
Bitcoin Cash’s latest software updates improve smart contracts and boost computing power.
- VM Limits & BigInt (May 15, 2025) – These changes enable advanced decentralized finance (DeFi) features and make smart contracts over 100 times more efficient.
- CashScript Development (Ongoing) – New tools are being built to help developers create decentralized apps more easily.
Deep Dive
1. VM Limits & BigInt (May 15, 2025)
Overview: This update removes previous limits on smart contracts and adds high-precision math capabilities. This allows Bitcoin Cash to better compete with Ethereum in the DeFi space. Users can expect faster and cheaper transactions, even for complex applications.
Specifically, VM Limits (CHIP-2021-05) increased the size limit for data elements from 520 bytes to 10,000 bytes and removed the cap of 201 operations per contract. This means developers no longer need to split tasks across multiple transactions. BigInt (CHIP-2024-07) supports calculations with very large numbers, which is important for advanced cryptography like zero-knowledge proofs. After the upgrade, node processing became 50% more efficient, and transaction fees stayed under one cent.
What this means: This is a positive development for Bitcoin Cash because it opens the door to new uses like decentralized stablecoins and cross-chain bridges, all while keeping transaction costs low. Developers can now build more complex applications without slowing down or increasing fees.
(Source)
2. CashScript Development (Ongoing)
Overview: Mathieu Geukens, a lead developer for Bitcoin Cash, is enhancing CashScript—a programming language designed for writing smart contracts—to make it easier to build DeFi apps and integrate wallets.
Recent improvements include updates to the software development kit (SDK) and the Cashonize wallet, which simplifies creating tokens and ensures compatibility across different platforms. These tools aim to attract developers who want Ethereum-like features but with Bitcoin Cash’s faster transaction speeds.
What this means: In the short term, this is neutral for Bitcoin Cash, but it’s promising for the future. Better development tools could speed up growth in the Bitcoin Cash ecosystem. Easier smart contract deployment may lead to wider use in payment systems and decentralized apps.
(Source)
Conclusion
Bitcoin Cash’s 2025 upgrades position it as a low-cost, high-capacity platform for DeFi and business applications. By maintaining compatibility with existing systems and focusing on ease of use, BCH aims to capture some of Ethereum’s market while staying true to its roots as a payment-focused cryptocurrency. The key question is whether increased developer activity will lead to lasting adoption.