Investors believe that the "golden cross" will drive BTC to new heights.

After the rise of Bitcoin to local highs on Wednesday, April 23, BTC entered a correction. The decline of the cryptocurrency sparked discussions about the coin's prospects. Investors shared their forecasts.

We explain why participants in the crypto community see the decline in the cryptocurrency rate as preparation for a new phase of rise.

Want to stay updated on the main crypto events? Subscribe to our weekly newsletter and receive the most important news directly to your email!

Many investors believe that Bitcoin, like in previous cycles, is repeating the behavior patterns of past years. For example, trader @0xPepesso suggested that BTC is following the trajectory of 2020. If he is right, the cryptocurrency may be preparing for a new phase of rise. His forecast implies a new all-time high for Bitcoin by the end of spring 2025. At the same time, the cyclical peak, @0xPepesso is sure, could be recorded in the autumn at levels above $220,000.

Analyst Sensei, in turn, sees a "golden cross" on the BTC chart. From a technical analysis perspective, its appearance on the chart may indicate the beginning of an active phase of rise in the cryptocurrency's exchange rate.

"Golden Cross" (Golden Cross) is a technical indicator on financial asset charts that appears when a short-term moving average, for example, the 50-day moving average, crosses below a long-term moving average, for example, the 200-day moving average. This signal is considered bullish and indicates a potential significant rise in the asset's price. The appearance of the "golden cross" is usually interpreted as the beginning of a strong upward trend.

The chart shows several such crossovers. The curves on the chart are moving averages:

• The orange line represents the price of BTC in US dollars.
• The yellow line is the 50-day moving average.
• The white line is the 200-day moving average.

When the yellow line ( short-term moving average ) crosses the white ( long-term ) from bottom to top, this is the "golden cross." Each of these crossings in Bitcoin's history has been accompanied by a significant rise in price:

• 2015-2017: rise of 139%
• 2017-2020: rise of 2200%
• 2020-2021: rise of 1190%

The emergence of a new "golden cross" may indicate that BTC is once again at the beginning of a bullish trend.

The Bitcoin fear index reflects investor optimism. The metric has returned to the green zone. Changes indicate a rise in market participants' optimism about BTC prospects.

Do you want to be part of a large and friendly BIC community? Then subscribe to our group on "Telegram" — there you will find communication with crypto enthusiasts, assistance from our experts, and exclusive comments from experienced analysts.