BCH recently fell into a convergence triangle pattern, which often signals a critical point for major market moves. Looking at the current funding rate, it's indeed positive, and there's considerable bullish force, but that's precisely the problem—while bulls are present, the upward movement lacks conviction.

According to standard technical analysis, this situation typically precedes a sharp downward move with a clear purpose: shaking out complacent longs. That's how I'm reading the situation. The short position I placed at 638 yesterday has already been filled, and my current plan is to take profits around 626, then reverse into a long position.

The key point is this: since the uptrend is lacking strength, the price needs to make a downward move to accumulate sufficient bullish momentum. The next phase is expected to follow BTC's rhythm upward, so contrarian trading is critical right now. If you're planning to go long, there's no need to rush—around 620 is a good opportunity, but make sure to control your position sizing, as volatility will continue in this stage.