Bitcoin's Golden Cross Signals Potential Bull Market

According to BlockBeats, on October 23, CoinDesk market analyst Omkar Godbole noted that Bitcoin's 50-day simple moving average (SMA) has begun to rise and is expected to surpass the 200-day SMA in the coming days, confirming the so-called 'golden cross.' This pattern indicates that short-term price momentum is surpassing long-term momentum, which could potentially evolve into a bull market. Indicators based on moving averages are often criticized as lagging signals, which might mislead traders into the wrong side of the market. While this criticism is generally valid, the golden cross has historically signaled major bull markets. Traders who held Bitcoin for a year after the first and second golden crosses, as well as the golden cross in May 2020, saw triple-digit percentage returns. Following the golden cross on October 30, 2023, Bitcoin's value doubled, reaching a new all-time high of over $73,000.