The Bullish Bitcoin Crossover No One Is Paying Attention To

2021-8-5 22:00

The Bitcoin 20 DMA seems to have just crossed with the 50 DMA, here is how it might be bullish for the cryptocurrency.

The Bitcoin Bullish Crossover

As pointed out by a BTC technical analyst on Twitter, two important indicators of the cryptocurrency have just had a crossover.

The two metrics are the 20 daily-moving average (DMA) and the 50 DMA. Before looking at the data, it’s best to first get a grasp of both these indicators.

Moving averages (MA) help smooth out the price data for Bitcoin as they take averages of the price over a specific period and constantly update or “move” forward.

The indicator “smooths out” the price as it mitigates effects of small fluctuations on the price, giving a smoother curve.

The 20 daily moving average (DMA) averages the daily price over 20 days, while the 50 DMA uses data of the past 50 days.

Related Reading | On-Chain Data Shows Bitcoin Daily Transaction Volumes Are Up 94%, Rally Might Not Be Over Just Yet

Now, here is the chart that shows the variations in the 20 DMA and 50 DMA for BTC:

The BTC 20 and 50 DMA have their first crossover since May

As the above graph displays, the Bitcoin 20 and 50 DMA indicators are having a crossover right now where the 20 DMA curve seems to be shooting above the 50 DMA.

The last time this type of crossover happened was in October 2020, right before the massive bull run where BTC set a new all-time-high (ATH).

However, these two crossovers aren’t the only ones on the graph. There is another, different type of crossover where the 50 DMA line flies above the 20 DMA curve. This one occurred in May, right at the top of the rally.

From these observations, it looks like when the 50 DMA overtakes the 20 DMA, a bullish trend might ensue. But if the reverse happens, a bull run could be there.

BTC Price

At the time of writing, BTC’s price is moving around $39.3k, up 1% in the last 7 days. Over the past month, the crypto’s value has increased by 16%.

Below is a chart that shows the trend in the price of Bitcoin over the last 6 months:

BTC's price seems to be going back up after a dip

After enjoying a couple of weeks of uptrend after a period of little volatility, BTC again seemed to be going down. However, today the coin has taken a reversal for the better as the coin seems to be quickly climbing back up.

Related Reading | Trend Line Touch Could Send Bitcoin On A Tear

It’s hard to say how far the crypto will go this time as the $40k resistance will again prove to be a challenge. BTC could get stuck in a rangebound market below the $40k mark and slowly lose its volatility again. Though if the DMA crossover is anything to go by, a bull market might be ahead.

Featured image from Pexels.com, charts from TradingView.com

Similar to Notcoin - Blum - Airdrops In 2024

origin »

ETH 20 Day MA Crossover Set (ETH20SMACO) на Currencies.ru

$ 851.87 (+1.76%)
Объем 24H $0
Изменеия 24h: 10.41 %, 7d: 30.26 %
Cегодня L: $851.87 - H: $851.87
Капитализация $0 Rank 3683
Доступно / Всего 0 ETH20SMACO

bitcoin crossover bullish cryptocurrency dma btc had

bitcoin crossover → Результатов: 36


Billionaire Investor Novogratz Says Bitcoin Will Hit $14,000 By October and Close the Year at $20,000

The general take on Bitcoin’s performance from industry players communicates a single point: prices will go up from here. While there’s still a lurking fear among some Bitcoiners who are skeptical about the permanence of the bull run, analysts and investors are predicting that the crossover above $10,000 will take Bitcoin to as high as […]

2020-7-30 01:28


Фото:

How Bitcoin Could Reach $5 Million Per Coin

On Oct 15, for the first time in three years, Bitcoin witnessed a bullish crossover of the 100- and 200-period moving averages on the three-day charts. However, the asset has so far failed to leverage that breakthrough and remains stuck in the $8,300s – the same spot where it has been over the past few […] The post How Bitcoin Could Reach $5 Million Per Coin appeared first on BeInCrypto.

2019-10-16 12:17


Ron Paul Pledges Allegiance to Bitcoin, Calls Crypto a ‘Great Idea’

In the early days of Bitcoin, there was a lot of crossover between the wider libertarian community led by Ron Paul and the Bitcoin believer category. Paul Diverges from Trump on Crypto Ron Paul, often a presidential candidate in the libertarian movement and noted opponent of policy he views as encroaching on liberty, popped up […] The post Ron Paul Pledges Allegiance to Bitcoin, Calls Crypto a ‘Great Idea’ appeared first on CCN Markets

2019-7-16 00:30