The world of cryptocurrency trading is driven by technical analysis, and certain chart patterns can indicate major shifts in market behavior.
One such pattern is the Golden Cross, a widely recognized signal that often suggests the beginning of a bullish rally. In a recent tweet, cryptocurrency analyst @CryptoNobler pointed out that altcoins have just witnessed their first Golden Cross since 2021. But what does this mean for the market, and why should investors pay attention?
A Historical Trend: Massive Gains Following Golden Crosses
In his tweet, @CryptoNobler points out that the last time a Golden Cross occurred in the altcoin market, the entire market experienced a massive 200x surge within just three weeks. This historical example serves as a powerful precedent for what might happen next. While past performance is never a guarantee of future results, such substantial gains are not unheard of during certain market conditions, especially in the volatile world of altcoins.
Given that the altcoin market is known for its high volatility, this prediction is not out of the realm of possibility. Cryptocurrencies, particularly altcoins, often see explosive growth during altseason—a period when altcoins outperform Bitcoin and other major cryptocurrencies in terms of price gains.
The Next Altseason: Starting April 21
@CryptoNobler doesn’t just stop at highlighting the Golden Cross; he goes further by predicting that the next altseason is set to begin on April 21. This is a moment when altcoins historically tend to gain significant traction, driven by new developments, investor interest, and favorable market conditions. The analyst advises his followers not to miss this chance, suggesting that those who act now could see substantial financial rewards.
For many cryptocurrency enthusiasts, altseasons are highly anticipated events. When they occur, altcoins can see rapid and substantial price increases, as investors flock to smaller, lesser-known coins with the potential for high returns. If the prediction of a new altseason is correct, April 21 could be the starting point for another round of explosive growth.
The Chart: Golden Cross in Action
The attached chart shows the Altcoins Market Cap over time, with two moving averages: the 100-day moving average (yellow) and the 200-day moving average (green). It highlights two key moments in time when the Golden Cross occurred, one in 2020 and another recently. These moments are marked with circles and arrows, clearly illustrating the points at which the market showed significant bullish movement after the crosses took place.
The chart also includes a visual representation of what happened after the Golden Cross in 2021, when the market saw an astonishing +24,500% increase in value. This sharp growth following the Golden Cross is exactly what the analyst expects to see again in the coming months.
What is the Golden Cross?
A Golden Cross occurs when the 50-day moving average crosses above the 200-day moving average, signaling that short-term momentum is overtaking long-term trends. This is often seen as a sign of strength in the market, indicating that the price of an asset could be on the verge of significant upward movement. In the case of altcoins, this could mark the beginning of a new phase of growth after a period of consolidation or decline.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/crypto-expert-unveils-altcoin-season-start-with-golden-cross-indicator/