The spectacular rise of the Dow Jones on Thursday gave a significant boost to Bitcoin, Ethereum, Ripple, and other cryptocurrencies as well.
Bitcoin BTCUSD shot past $7,700, ETHUSD crossed $190, and Ripple XRPUSD touched $0.19. However, most of the cryptocurrencies lost the steam and consolidated below these highs by the end of the day. BTC is currently hovering over the $7,500 range.
BTCUSD formed the Golden Cross on April 23
BTCUSD Chart Published on TradingView.com
Let us take a look at the hourly chart of BTCUSD.
The 50 Simple Moving Average crossing-over the 200 Simple Moving Average in the hourly timeframe for BTCUSD created a Golden Cross. The spike in prices immediately because of the Golden Cross confirmed the pattern.
Data shows that ‘reward halving’ is trending at an all-time high
Various websites that curate and analyze the keywords of BTC revealed that the keyword ‘BTC reward halving’ is trending across social media and Google searches. The BTC reward halving will take place three weeks from now.
The formation of the Golden Cross is, therefore, all the more significant. Spike in interest and formation of this pattern will drive BTC much higher. BTCUSD has a good enough chance of crossing the $9,000 mark pretty soon.
Obstacles to an upward movement of BTCUSD
- If we take a closer look at the hourly chart, it can be observed that following the rise, BTC has entered a consolidation phase. This phase could be instrumental in pulling the price much lower than $7,200.
- The fact that Bitcoin entered into a rising wedge pattern, which is a confirmed ‘Bearish‘ pattern, cannot be ignored. The fallback as a result of the rising wedge is yet to take place.
- Finally, the biggest and probably the toughest obstacle to Bitcoin’s rise could be the current macroeconomic conditions.
