Bitcoin Flirts with 'Golden Cross'; Bull Market on the Horizon, Critics Remain Skeptical
Summary:
Bitcoin (BTC) may be on track for an "early bull market," according to entrepreneur Alistair Milne, as it encounters a unique chart feature called the "golden cross." This occurs when the 50-week Moving Average exceeds its 200-week counterpart and suggests a potentially strong upward trend ahead. Despite significant year-to-date gains, some market analysts remain sceptical, suggesting large-volume sellers could still drive the price down.
The cryptocurrency Bitcoin (BTC) could be heading towards an "early bull market" as it exhibits a novel chart feature that has never happened before. This observation was brought to light by entrepreneur Alistair Milne on December 7 on social media platform X (formerly known as Twitter), emphasizing Bitcoin's debut weekly "golden cross." Bitcoin's progression from the "death cross" to "golden cross" within ten months has yielded substantial profits for distinct groups of Bitcoin investors. Now, the 165% YTD earnings have taken on new import.
Presuming this trajectory continues, Bitcoin will experience an unprecedented bull signal – the crossover of two crucial weekly moving averages (MAs) revered by Bitcoin traders and analysts. The 200-week MA undergirds the bear market, never experiencing a decrease, while the 50-week MA is now set to catapult over its 200-week counterpart, a phenomenon known as the "golden cross." Seen as a traditional positive sign in lower time frames, Milne suggests this could potentially presage significant gains ahead.
Highlighting the unique circumstances, Milne remarked that in this bear market, Bitcoin slipped beneath the 200-week MA price for the first time ever. He predicted that the 50-week MA will now cross over the 200-week MA, creating Bitcoin's inaugural 'golden cross' and a likely early bull market.
Data from resources like Cointelegraph Markets Pro and TradingView indicates that BTC/USD might achieve the weekly golden cross before the close of 2023.
However, not all market observers are optimistic about Bitcoin's rapid ascent to $44,000 this week. Some argue that buyer momentum has plateaued and that influential sellers with large-volume portfolios could still impact the market dramatically.
Crypto Chase, a renowned trader, disclosed his short BTC position when Bitcoin surpassed $43,000 and cautioned of a potential plunge even to the lower $20,000s. Emphasizing his persistent bearish outlook, Crypto Chase confirmed his anticipation for new all-time highs only after a drop to the lower $20,000s.
Similarly, controversial trader Il Capo of Crypto rests steady on an even more pessimistic BTC price prediction, asserting a $12,000 bottom target for Bitcoin. He predicts a sharp fall to the $30k-$31k range sparking a widespread capitulation event.
Note: This news piece does not serve as investment advice or recommendations. Every financial decision carries inherent risk, and proper due diligence should be exercised before making any investments.
Published At
12/7/2023 7:24:29 PM
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