The latest news surrounding Bitcoin’s price have been nothing but positive. For the first time in a while, the prices are slowly climbing up, with Bitcoin reaching key levels week after week and setting the tone on the market. And it’s not just a gimmick. According to experts, Bitcoin has reached a special golden cross threshold which only spells positive news.
This bullish signal usually foreshadows short-term gains. Prices have already gone up by 1% since the latest cross, but bigger gains are expected.
What’s a Golden Cross?
The golden cross is a term which explains an occurrence where the 50-day moving average for an asset crosses the 200-day moving average. The latest such cross for BTC occurred on February 18, followed by immediate gains. Since 2015, Bitcoin has only seen six other crosses. A golden cross also occurred in mid-August 2021, and we all know how prices exploded later.
There was another cross occurring on February 7 which saw a 5.7% price decline in the next couple of days. However, they’re rebounded by 13% since then, which means a 6.6% increase. Every time a golden cross occurs, prices go up. With Bitcoin flying high, the crypto and altcoin markets benefit greatly.
And, if you take a look back, you’ll see that Bitcoin has historically enjoyed great benefits from golden crosses. The average seven- and thirty-day returns in the six golden crosses since 2015 were set at 2.7% and 10.6% respectively.
If Bitcoin performs to the average, prices should soon breach $26,500. The $24,000 level was breached days before, and Bitcoin has been flirting with $25,000 in the past 24 hours. Currently sitting in the low $24,000s, it’s all about psychology now. Investors are anxious to see if it goes up over $25K and hold that level, which might make many return to the market.
In the pats few days, Bitcoin has alternated between positive and negative gains on average volume. There’s no clear direction, but the overall sentiment has been positive after more than a year of nothing but negative news.
AI Predicts Bitcoin’s End of 2023 Price
There’s been a lot of hype surrounding AI in the past few months, more specifically because of ChatGPT. While its use has been heavily debated, there’s no question that these tools can prove to be useful on some levels. One such AI took on the impossible task of predicting Bitcoin’s price by the end of the year.
Predicting Bitcoin’s price in a few weeks is hard, and predicting the price by the end of the year is nearly impossible. No AI is perfect, but this one’s predictions were pretty realistic. It accessed data from Finbold on February 21, predicting a mid-year price of $31,520 and a year end price of just over $33,000. That’s a total increase of 34%, which sounds plausible.
Of course, things can change depending on which way the wind blows. But, it’s not far off today’s mark, and we’d be happy if the AI’s predictions turn true.