The world’s largest cryptocurrency Bitcoin (BTC) could be on the verge of a significant upward movement as on its daily chart the cryptocurrency is on the verge of forming a bullish “golden cross” pattern.
A golden cross is formed when an asset’s short-term moving average crosses above its long-term moving average. Golden crosses are seen as a potential indicator for major price rallies.
Taking into account that a Bitcoin golden cross is seemingly approaching, popular cryptocurrency analyst Elja suggested that a rise to the $100,000 mark is “closer than you think.”
BTC Golden Cross Approaching 👀 $100,000 is coming sooner than you think? #Bitcoin pic.twitter.com/U3ochaHAW2
— Elja (@Eljaboom) October 24, 2024
While technical analysis is not a foolproof predictor of future price movements, the golden cross has proven to be a reliable indicator of upward trends in various asset classes, including cryptocurrencies, with Bitcoin recently surging from under $10,000 to $23,000 after the formation of a golden cross.
However, it’s important to note that the cryptocurrency market is highly volatile, and factors such as regulatory developments, macroeconomic conditions, and investor sentiment can significantly impact Bitcoin’s price.
The golden cross is forming at a time in which the total number of Bitcoin whale entities has recently hit its highest level since January 2021, with data from on-chain analytics firm Glassnode showing there are 1,678 BTC whales.
The data suggests that large cryptocurrency investors have been accumulating, to the point that those who have over 1,000 BTC in their wallets, equivalent to round $66 million, have kept on growing sine early 2023.
The data was first shared by André Dragosch, European Head of Research at Bitwise and was shared on the microblogging platform X. Whale activity is closely monitored in the cryptocurrency space, as their influence over prices could be significant.
The number of Bitcoin whales hit a three-year high at time in which a number of Bitcoin addresses that have “never had a Bitcoin outflow” are currently accumulating the flagship cryptocurrency at an unprecedented pace, to the point they are now holding 2.9 million BTC.
Featured image via Unsplash.
