Bitcoin’s price has been on a wild ride lately! After hanging around the same price for a while, it blasted past a key resistance level and shot up. It’s hitting new record highs, and showing no signs of slowing down.
The Golden Cross: Hype or Lagging Indicator?
Interestingly, this rally happened right around the time a “golden cross” appeared on the charts. A golden cross happens when a shorter-term moving average crosses above a longer-term one – usually seen as a bullish signal. But one analyst, FX_Professor, has a different take.
FX_Professor argues that the golden cross is a lagging indicator – meaning it confirms a trend that’s already happening, rather than predicting it. They say it’s like showing up to a party after everyone else has already arrived and the fun has begun.
The Real Signal: Identifying Early Entry Points
Instead of waiting for the golden cross, FX_Professor focuses on identifying key price levels where buying pressure is strong. For Bitcoin, they pointed to the $74,394 and $79,000 range as early signs of accumulation – a period where smart money was buying before the price took off. By the time the golden cross appeared, the price had already climbed significantly.
FX_Professor emphasizes that understanding price structure and key support/resistance levels is more important than relying solely on indicators like moving averages. They use custom indicators and chart patterns to identify these early entry points. Their chart shows successful entries as early as April, well before the golden cross.
Bitcoin’s Current Status and Future Outlook
Right now, Bitcoin is trading around $110,734, slightly down from its recent all-time high of $111,544. Even with this small dip, it’s still up over 3% in the last 24 hours. The golden cross, while a lagging indicator, still adds to the bullish sentiment. More record highs are possible before the week ends.
