Today in crypto, Bitcoin is retesting the golden cross, a bullish pattern that preceded past parabolic rallies, crypto traders’ “typical rationalization” behavior by pointing to Trump’s tariffs as the reason for the market dump. Meanwhile, Zcash recovers to pre-crash highs.
Bitcoin retests golden cross, a break above could trigger major rally: Analyst
Bitcoin is retesting the “golden cross,” a bullish technical pattern that has historically preceded rallies, according to crypto market analyst Mister Crypto.
In a Sunday post on X, the analyst shared a chart noting that Bitcoin’s (BTC) previous golden crosses led to gains of 2,200% in 2017 and 1,190% in 2020. With BTC currently hovering near $110,000, he suggested that holding above the level could ignite another parabolic move.
“The setup looks incredibly strong,” he wrote, adding that a confirmed breakout could “absolutely explode” Bitcoin’s price in the coming weeks.
A golden cross is a bullish trading signal that happens when a short-term moving average, usually the 50-day, crosses above a long-term moving average, often the 200-day. It signals that momentum is shifting from bearish to bullish, meaning prices may start rising.
Bitcoin retests golden cross. Source: Mister Crypto
Crypto traders blame Trump’s tariffs in search of ‘singular event’: Santiment
Crypto retail traders were quick to blame Friday’s broader crypto market decline on US President Donald Trump announcing a 100% tariff on China, as they often look for something to point the finger at during downturns, according to Santiment.
Analysts, however, say the reason for the market slump runs deeper than the tariffs alone.
“This is typical ‘rationalization’ behavior from retailers, who need to point to a singular event as the reason for a cataclysmic downturn in crypto,” Santiment said in a report on Saturday.
“After the crash, the crowd quickly jumped to collectively come to a consensus as to what the flush could be attributed to,” Santiment said, referring to the increase in social media discussions related to both the crypto market and US-China tariff concerns.
Zcash reclaims pre-crash highs
The price of Zcash (ZEC) recovered to pre-crash highs and hit a new high of about $293 on Saturday, following a rapid flash crash on Friday that caused $20 billion in crypto liquidations within 24 hours.
Zcash is trading at about $293 per coin at the time of this writing, after plummeting by 45% on Friday; the price recovery sets it apart from most of the altcoin market, which suffered double-digit losses that extended into Saturday.
Zcash rebounds to pre-crash levels and forms a new high. Source: TradingView
Altcoins shed as much as 95% of their value on Friday, following a statement from US President Donald Trump announcing increased tariffs on China.
The crash represents the most rapid and severe crypto liquidation event in the history of the sector and is a reminder of the risks of leveraged trading.
