Looking at the current BCH market, after spiking to 642 yuan, it has started to turn down. At first glance, it seems to be above the MA5 and MA10 at a price of 632.58, but there are several signals worth cautioning.

On the 1-hour chart, the RSI(6) has already reached 50.49, clearly entering the overbought zone, indicating that buying momentum is about to exhaust. More importantly, on the MACD side, the red histogram has turned green, and the DIF has fallen below the DEA, from -0.22 to -0.11. This kind of momentum exhaustion signal is very obvious. Combining the price high point and indicator divergence, there is a strong suspicion that the main force is pushing up to dump.

Based on this judgment, my approach is to open a short position at the current price of 632.58 directly. The stop-loss is set above the previous high of 642.00, making the risk relatively controllable. The first target is at 625.10—that is, the lowest price in the past 24 hours. If the 625 level is broken, the second target points to 619.48, which is a relatively obvious previous low.

For trend traders, if this decline is confirmed, you can hold firmly. Short-term traders should take profits in stages at support levels for better safety. Of course, also watch out for the main force possibly using overbought conditions to reverse and smash the market; if the price drops rapidly, be prepared for being caught in a trap.