The crypto space became filled with various optimistic predictions on Bitcoin (BTC) again.
Tracking Bitcoin’s first golden-cross
Crypto traders track Bitcoin (BTC)’s first “golden cross” on its three-day chart since the early days of the 2016-2017 bull market.
Data from crypto exchange Bitstamp is cited by the Daily Hodl and the online publication writes: “the 50-candle moving average on Bitcoin’s three-day chart crossed above the 200-candle on Wednesday, an indicator that suggests a long-term bull run could be on the horizon.”
According to the online publication, the cross became so important because the last time it happened was in early February back in 2016.
Back then, BTC was worth about $370. We all know that after that, Bitcoin began its massive surge to a record high of $20,000 in December of 2017.
The golden cross is a powerful signal for BTC’s price
The cross has proved itself to be a powerful signal for Bitcoin so far.
BULLISH: The 50MA crossed above the 200MA on the 3-day BTC/USD chart, forming a so-called golden cross. The last time this happened was in February 2016. pic.twitter.com/WplNLcuTmc
The online publication also notes that CoinDesk analyst Okmar Godbole highlights the lagging indicator typically has “limited predictive powers at best” and is far from foolproof.
According to him, “So, seasoned traders may consider the latest cross as a product of BTC’s rally from December’s low of $3,122 to June’s high of $13,880. After all, MAs follow price and, the longer the time-frame of the MA, the bigger the lag. Even so, the bulls can take heart from the golden cross, which has proved its mettle as a reliable indicator in the past…”