Bitcoin ‘bull crossover’ is about to happen, for the first time since 2016

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Bitcoin is poised to repeat its rare bullish chart run of the past eight years.exist postal On January 9, on X (formerly Twitter), popular commentator Mustache revealed that a key BTC price moving average (MA) crossover was forming.

MA crossover after 8-year hiatus

Bitcoin is back near $50,000 as the cryptocurrency market renaissance continues.

Excitement over the first U.S. spot Bitcoin exchange-traded fund (ETF) is currently driving price action, but new ATH remains out of reach.

Behind the scenes, however, there are reasons to believe that Bitcoin’s current moves make sense.

As Mustache points out, on the 3-week time frame, the 21-period exponential moving average (EMA) is trying to break above the 50-period simple moving average (SMA).

As a sign of strong short-term price performance, this apparent crossover is unusual as it last occurred in 2016. At that time, the 3-week chart continued to rise toward the top. The point was Bitcoin’s peak of $20,000 in December 2017.

“In addition, there are buy signals in the super indicators. Pay attention to rare signals.” Mustache emphasized.

Bitcoin three-week chart and EMA twenty oneSMA 50 | Source: beard

Decision to bet on Bitcoin ETF after collapse

Bitcoin brings optimism to traders in both the short and long term.

Despite being close to its highest levels since April 2022, BTC still has room to rise further based on price indicators such as the daily relative strength index (RSI) and Bollinger Bands.

However, skeptics remain, with bearish targets largely based on the January 10 approval decision as the hype surrounding the ETF petered out.

Among them is cryptocurrency trader X Il Capo, who predicts Bitcoin will return to lows of $12,000 in the future.

“The week ahead is exciting. ETF news will be announced soon. As explained these days, I expect the market to rise first. BTC to $48,000-50,000, ETH to $2,500-2,600. Altcoins should rise, Especially low market caps. Then it may take a few days for the market to reach a very important local top. That’s when I will start opening swing short positions, targeting new lows,” he said on Telegram on January 7.