Bitcoin set for first-ever weekly Golden Cross; Start of BTC bull run?

Bitcoin’s (BTC) value has threaded among the $40,000 to $45,000 range, unable to surpass the crucial resistance level amidst prolonged consolidation in the overall market. 

Nevertheless, Bitcoin’s technical analysis indicates the potential for the asset to embark on another all-time high, drawing insights from historical price movements.

Specifically, the flagship cryptocurrency looks set to conclude its first-ever weekly golden cross pattern—a bullish long-term price signal.

A golden cross transpires in any market when the 50-day moving average rises above the 200-week moving average. Observing the Bitcoin market cap, the inaugural golden cross is anticipated this week, provided BTC does not experience a substantial drop between now and December 25.

Bitcoin’s price has encountered recent volatility, and the golden cross is interpreted as an optimistic indicator of the asset’s price trajectory.

Start of BTC bull run?

As noted before, when the 50-day SMA surpasses the 200-day SMA of a digital asset, it usually forecasts the start of a bullish period in the near future.

As history tends to repeat itself, the BTC price movement is not an exception; looking back at the previous periods can tell us a lot about the potential future price movements, as per a post from crypto analyst TAnalyst on December 22.

The expectation is that the upcoming Bitcoin halving, scheduled for 2024, might initiate the start of a fresh market cycle.

Bitcoin price analysis

At the time of press, BTC was trading at $43,599, representing a decrease of -0.90% in the past 24 hours, contrary to the gains made on a weekly chart of 2.29% and 19.23% on the monthly chart, respectively.

According to technical analysis from TradingView, indicators point towards a bullish sentiment in other areas. A summary of the one-day metrics indicates a buy signal with a rating of 13, aligning with the score for moving averages. Meanwhile, oscillators indicate a sell signal with a rating of 3.

Whether these positive technical and historical indicators will be an optimistic sign of things to come remains to be seen.

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