Bitcoin’s upcoming Golden Cross hints at bullish potential, with resistance near $64,000 and strong support at $29,000.
Bitcoin’s past Golden Crosses in 2020 and 2021 triggered rallies to $64,443 and $69,000, sparking hopes for another surge.
Key indicators, including the RSI and MACD, show market indecision, with the MACD suggesting possible bullish momentum ahead.
Bitcoin (BTC) is on the verge of a Golden Cross, a technical indicator that often points to bullish momentum. According to Altcoin Daily, Bitcoin’s 50-day moving average is approaching its 200-day counterpart, key for potential upward price movement. With BTC consolidating around $60,000 to $65,000, the market remains on edge, waiting for a decisive breakout.
Golden Crosses and Historical Price Surges
Historically, Bitcoin's Golden Cross formations have suggested the start of strong bullish trends. In mid-2020, the first major Golden Cross highlighted in the chart led to Bitcoin’s price climbing to $64,443 by April 2021.
Source: Altcoin Daily
Another Golden Cross in late 2021 preceded a rally to the all-time high of $69,000 by November. Recent price action shows Bitcoin consolidating in a narrow range between $60,000 and $65,000, indicating the potential for another move.
Notably, Bitcoin's price corrections have been sharp after previous highs. Following the $64,443 peak, Bitcoin corrected to $29,000 before recovering. This cyclical behavior, common in crypto markets, could offer insight into upcoming movements as the market eyes another Golden Cross.
Descending Triangle and Resistance Levels
Between early 2023 and mid-2024, Bitcoin formed a descending triangle, with the upper trend line acting as strong resistance. This pattern often signals a bearish continuation. However, the upcoming Golden Cross suggests the possibility of breaking through the resistance at $64,000, a key level that has proven difficult to surpass since late 2021.
Should Bitcoin breach this resistance, it may retest the all-time high of $69,000. In the event Bitcoin fails to break through the resistance, market focus will shift to support levels. The price has found strong support around $29,000 during past corrections.
RSI and MACD Indicators Point to Indecision
Technical indicators, such as the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD), reflect the current indecision in the market. The RSI stands at 52.37, a neutral position indicating that neither buyers nor sellers dominate the market.
Source: TradingView
However, the MACD is showing a recent bearish crossover, hinting at weakening momentum. Still, the MACD’s movement suggests that bullish momentum could build again if conditions align.
