The golden cross has completed on the daily chart, but Bitcoin continues to struggle with the “death cross” on the weekly time frame.
It approached $23,000 on Feb. 7, topping the charts for the first time in 18 months.
The battle of the Bitcoin Crosses begins
Data from Cointelegraph Markets Pro and TradingView shows that BTC/USD followed sideways overnight. Avoiding volatility at Wall Street’s first weekly opening.
Despite failing to revert the $23,000 support, the pair still sees a potential milestone on February 6 in the form of a “golden cross” on the daily chart
This means a 50-period incremental moving average crossing the 200-period moving average. The last time this happened in a daily time frame was in September 2021, two months before Bitcoin hit its all-time high. last
Some crypto analysts are watching the intersection closely, according to Venturefounder. Supporters of online data platform CryptoQuant say $25,000 could reappear as a result.
“Bitcoin goldencross just happened!” he concluded in a reaction on Twitter.
“This potential correction could see BTC test another $20,000 (200DMA and key support), then if bullish, test $25,000, create $25,000 support and put a nail in the bears coffin. ”
The picture is still complicated today due to the next “counter-counter” in a weekly time frame. The 50-period moving average is still on track to fall below 200 for one period, a phenomenon known as a “death cross” for the reverse. Impact on BTC price movement
As for the material indicators of monitoring assets on the network, it remains uncertain whether the gold cross alone can drive up BTC/USD.
“Is that enough to test the validity of the $25,000 range?” he wrote in the description section of the Binance order book.
The accompanying chart shows significant resistance in the form of a cash call at $23,500, which is the first major hurdle for the bulls to clear on an upward move.
Powell’s Speech “The One Factor” of Macro Week
Another factor on the radar for Feb. 7 comes from Federal Reserve comments.
Related: BTC price about to retest $20,000? 5 things to know about Bitcoin this week
Ahead of next week’s release of macroeconomic data, several Fed officials were expected to speak. Since chairman Jerome Powell should be the most critical of potential market movement.
“This week is nothing special. The one major factor to watch is Powell tomorrow afternoon. Maybe another fix clearance. So the party should continue to grow,” part of a Twitter analysis by supporters. Cointelegraph Michaël van de Poppe said Feb. 6.
Van de Poppe added that “buy dip” could be a viable option for altcoins in the meantime, as material indicators indicate that this is already the case for Bitcoin whales.