On February 7, 2023, Bitcoin golden crossed on the daily timeframe using spot price charts. The bullish buy signal failed to produce any significant upside.
The same signal is close to firing on a “future” price chart, which could provide the upward movement that crypto bulls were expecting.BTC CME Futures Chart To Golden Cross
In recent weeks, there has been a ton of discussion surrounding golden crosses and death crosses. As mentioned, to start the month, Bitcoin BTCUSD charts golden crossed on the daily timeframe. In the days that followed, BTCUSD one-week charts gave the opposite signal: a death cross.
When Will Bitcoin Go For The Gold?
A golden cross occurs when a short-term moving average crosses a long-term average from below. A death cross crosses from above instead. The two signals tell investors when to buy or sell ahead of a potential trend change.
Since the moving averages are calculated using each day’s closing price data, the lack of holidays and weekends on BTC CME charts creates a slightly different indicator reading. The signal produced is the same, but could prove to be a stronger confirmation than spot exchanges.
In the past, early signals or breakouts on spot exchanges have been false. Other signals like gaps, are only evident on BTC CME futures charts due to the same weekend or holiday downtime.
Will this upcoming golden cross be the confirmation signal bulls have been waiting for?
