Bitcoin (BTC) Stable Above $5,200
At the time of writing, Bitcoin is trading up over 1% at its current price of $5,280. Earlier today, BTC briefly dipped below $5,200, where it found some levels of buying support that pushed its price back towards $5,300.
It is important to note that over the past week, Bitcoin has been rejected at $5,300 on multiple occasions, signaling that this price is a level of resistance that may require a significant surge in buying pressure to be broken above. The recent crypto market surge appears to have drastically shifted the overall market sentiment, as many investors who were previously looking to sell their crypto late last year are now looking to buy back in.“We have seen a lot of interest in people buying and holding of late. In Q4 [2018] a lot of people were dumping assets and liquidating their holdings, that has definitely shifted this year,” Lennon Sweeting, the director and head trader at Coinsquare Capital Markets, explained while speaking to .
Famous Technical Formation May Signal that Bull Run is Imminent
Bitcoin’s recent price surge has brought its 20-day and 200-day SMA close to crossing each other, which is a slightly faster version of the highly bullish technical formation commonly referred to as a “golden cross.” Jonny Moe, a popular cryptocurrency trader on Twitter, spoke about this crossover in a recent tweet, explaining that he does believe that there is a strong possibility that the bottom is in for the markets.“$BTC about to have its first bullish 20-200 SMA cross since Oct 2015. Note that it took 2 of these crosses before the uptrend began. I’m not usually one to try and call out absolutes like “THE BOTTOM IS IN!!!”, but it’s certainly shaping up like that could be a real possibility,” he explained.
about to have its first bullish 20-200 SMA cross since Oct 2015. Note that it took 2 of these crosses before the uptrend began. I'm not usually one to try and call out absolutes like "THE BOTTOM IS IN!!!", but it's certainly shaping up like that could be a real possibility. — Jonny Moe (@JonnyMoeTrades)
Moe further explained the significance of this recent technical formation in a later tweet, noting that the standard “golden cross” occurs when the 50-day SMA crosses the 200-day SMA, and that Bitcoin’s recent SMA cross is simply a “slightly faster version of the famous ‘golden cross.’”
“This is a slightly faster version of the famous ‘golden cross,’ which is typically a 50-200 cross. This is what that looks like. Still a ways away, but getting closer. This also took 2 bullish crosses before the full uptrend in 2015,” he noted.
This is a slightly faster version of the famous "golden cross," which is typically a 50-200 cross. This is what that looks like. Still a ways away, but getting closer. This also took 2 bullish crosses before the full uptrend in 2015. — Jonny Moe (@JonnyMoeTrades)
If this formation – which has previously been highly bullish – still holds its clout as an indicator of an imminent bull run, then embattled crypto investors may soon be able to recover much of the losses that they have incurred over the past year.
Featured image from Shutterstock.