Let me start with a warning: a local bottom area is not a precise level.

What is the NVT Golden Cross?

The NVT GC helps identify buy and sell zones in short-term trends (gradually).

If the NVT GC rises above 2.2 points (red zone), it indicates that the price is overheating in the short-term trend and we are in a local top area. On the other hand, if the NVT GC falls below -1.6 points (green zone), it indicates that the price is cooling down excessively and we are in a local bottom area.

What happened when the NVT GC previously produced local bottom signals?

1- January 18, 2024 (-2.78) BTC at 41K followed by a 78% increase.

2- July 12, 2024 (-3.70) BTC at 57K followed by a 23% increase.

3- August 7, 2024 (-2.36) BTC at 55K followed by...

✅ Conclusion

Currently, we are in a local bottom area according to the NVT GC.

Can the price go deeper? Yes, but we can expect the short-term trend to turn positive in this area.

Written by burakkesmeci