Bitcoin (BTC) is about to make a rare move on the price chart. This is a so-called “Golden Cross” that has not existed for eight years.
According to a popular Twitter analyst, this is an important topic right now bullish There is an intersection in the formation of two moving averages, which could indicate a further increase.
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Bitcoin is about to create a rare golden cross
Bitcoin has been rising sharply recently and today the price exceeds $46,000 for the first time since April 2022.
The analyst in question, “Moustache,” reported on Twitter about this rare price breakout on January 9th.
This concerns the intersection of the 21st period Exponential moving average (EMA) and the 50s period simple moving average (SMA) on Bitcoin's three-week chart.
The last time the crossing of these two moving averages occurred was in 2016. Such a bullish crossing only follows a strong increase and could mean that another increase is on the way.
A year after Bitcoin's last breakout, the price reached a new value All-time high of about $20,000. The Twitter message is therefore being received with great interest by the crypto community.
“Pay attention to rare signals,” the analyst adds.
#Bitcoin (3W)$BTC is about to make a golden cross in the 21EMA/50SMA.
The last time we saw something like this was almost 8 YEARS ago (2016).
– Also the “buy signal” in the super indicator
Pay attention to the rare signals.👀🤝 pic.twitter.com/EbTZZLJ3Ta
— 𝕄𝕠𝕦𝕤𝕥𝕒𝕔ⓗ𝕖 🧲 (@el_crypto_prof) January 9, 2024
Bitcoin price rises due to enormous ETF hype
One of the main reasons why Bitcoin is rallying so strongly is the expectation that the US Securities and Exchange Commission (SEC) will soon make a decision on a Bitcoin spot exchange traded fund (ETF) in the USA.
The financial regulator is expected to quickly approve one or more spot Bitcoin ETF applications. The decision could possibly be made today, as the final deadline for the first application ends tomorrow.
The market currently expects this approval to quickly push the price further higher. That is why such reports about rare price indicators are received with great enthusiasm.
However, it is still possible that the SEC will still reject the applications. The watchdog has done this in the past. In this case, the Bitcoin price could suffer a major drop. There are also analysts warning of a possible “buy the rumor, sell the news” situation.
This would mean that many investors have already bought in advance in anticipation of this event and then decided to take their profits. If enough dealers do this, it could bring the price down again.
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