NewsletterNew Bitcoin Addresses And Golden Cross Hints BTC Price Recovery
The Bitcoin (BTC) price has entered a strong consolidation and trading around the $29,000 level for a while leaving investors confused amid the subdued price volatility.
However, the on-chain data for Bitcoin shows an overall improvement in network activity. While the BTC price recently corrected from $32,000 to $29,000, the total number of new Bitcoin addresses has continued to rise. “This bullish divergence between price and network growth hints at a stable long-term BTC uptrend. Buy the dip!” writes popular crypto analyst Ali Martinez.
Other on-chain indicators also signal a bullish momentum for Bitcoin. Martinez explains: “All major $BTC oscillators (MVRV, aSOPR, Puell Multiple, and Reserve Risk) continue to hover above the 0 line. This indicates the ongoing price correction might just be a blip”.
Bitcoin Golden Cross, BTC Price Recovery Begins
In a post on TradingView last week August 4, crypto trading analyst TradingShot noted that Bitcoin has just crossed the golden-cross indicator for the third time in history. Thus, it could be the beginning of a new bull rally to another record-high level.
The golden cross pattern happens when a short-term moving average rises above a long-term moving average i.e. 50 DMA crossing the 200 DMA. This basically suggests a positive trend for the cryptocurrency. During the previous two golden-cross instances, the BTC price rallied significantly thereafter.
Citing previous Golden cross cycles, TradingShot noted that the next upward target for Bitcoin would be its current ATH i.e. $69,000. “It could be a fair estimate that Bitcoin would have reached the current ATH ($69,000) by around this time next year,” he said.
It’s important to mention that the unique circumstances of the March 2020 COVID-19 crash, which was like a Black Swan event, temporarily disrupted the usual pattern. Experts predict that the upcoming Bitcoin halving in 2024 might start a new market cycle. However, in the short term, there are concerns that Bitcoin’s price could drop below $29,000.
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- Operation Choke Point: House Republicans Spotlight Biden Administration’s ‘Attack on Crypto’
- Polymarket Rival Kalshi Moves On-Chain With Launch of Tokenized Prediction Markets on Solana
- Tom Lee Says Bitcoin Could Hit New ATH In January As Hassett Becomes Favorite For Fed Chair
- 8 Best Crypto Exchanges That Accept PayPal Deposits and Withdrawals
- Jerome Powell Speech Today: What To Expect as Fed Ends QT
- XRP Price Prediction as Ripple Gets MAS Licence in Singapore
- Ethereum Price Crashes Below $3,000 as $500M Longs Liquidated: What’s Next?
- Pi Network Price Prediction Ahead of December’s 190M Scheduled Unlock
- Dogecoin Price Below $0.15 as Crypto Market Crashes: Will $0.10 Hold?
- Will the Binance Coin Price Rebound as a Key RWA Metric Jumps 99%
- AVAX Price Prediction After Bitwise Files for a Staking ETF — A Rebound Coming?
