bullish

Bitcoin

when

Rare

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 Cover image via <a href="https://u.today/">U.Today</a>
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An extremely rare pattern has formed on the&nbsp;<a href="https://u.today/bitcoin-active-addresses-drop-cause-for-alarm">Bitcoin (BTC)</a> price chart as the intersection of the 100 and 200 moving averages has created a golden cross on the chart. More importantly, this is the first such golden cross for a major cryptocurrency.
It is worth noting that when the 100 and 200 day moving averages cross, it is a significant event. These moving averages are key indicators used by traders to assess long-term trends.&nbsp;
The 100-day moving average shows the average closing price of Bitcoin over the past 100 days, while the 200-day moving average does the same for the past 200 days. When the shorter term crosses the longer term, it forms a golden cross, which is generally considered a bullish signal.
<img alt="&quot;&quot;" data-entity-type="file" data-entity-uuid="050f1407-c9e0-4352-aed4-990486ab5e06" src="https://u.today/sites/default/files/inline-images/BTCUSDT_2024-09-05_18-41-05.png">Source: <a href="https://www.tradingview.com/x/Zw47njXF/">TradingView</a>
The golden cross indicates that Bitcoin's price momentum may be shifting upward. This is because the shorter-term trend is now outpacing the longer-term trend. This pattern is often seen as a precursor to extended upward price movements. This is because it indicates growing market confidence and increasing demand for the asset.
<h2 dir="ltr" id="but-there-s-a-but">But, there's a but</h2>
However, it should be noted that these moving averages previously formed a death cross when the longer-term moving average crossed the shorter-term moving average. After this death cross was completed, the price of&nbsp;<a href="https://u.today/satoshi-era-bitcoin-wallet-resurrected-with-millions-in-btc-and-500772-profit">Bitcoin</a> soared over 100% to a new all-time high of $74,000.&nbsp;
This means that if this golden cross plays out, we may not see a spike in the price of Bitcoin, but rather a further decline.
While the golden cross is a positive indicator, it is important to note that technical analysis is not foolproof. Other factors such as macroeconomic conditions, regulatory developments and investor sentiment can also influence the&nbsp;<a href="https://u.today/bitcoin-omega-candle-coming-samson-mow-shows-big-short-michael-burrys-style">price of Bitcoin</a>.

Extremely Rare Golden Cross Appears on Bitcoin Price Chart: Details

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