Altcoins are poised to take off: two big buy signals are in alignment

2023-12-01 09:28:12

Major altcoins have been relatively flat over the past few days, with tokens such as Ethereum (ETH) up 3% today to trade around $2090, with Chainlink (LINK), XRP, Cardano (ADA), and Solana (SOL) barely changing prices. An anomaly is the Injective Protocol (INJ), which has risen 10% and is trading near a yearly high of $18.78.

Moustache, a well-known crypto analyst with more than 82,000 followers, said the conditions may be ripe for an upcoming altcoin rally.

“It’s time for the altcoin to break above the RSI blue line. We’ve seen this happen in 2016, but for a shorter time. At the time, it was a signal for the strongest altcoin rally the market has ever seen. Exciting times are coming, right?”

“The golden cross on the 20 moving average monthly chart is coming and will most likely happen tomorrow.” This has only happened twice in the history of altcoins. In 2016 and 2020, this marked the beginning of the altcoin bull market. I’ll update tomorrow. ”

A golden cross is when the short-term moving average crosses above the long-term moving average, marking the beginning of an uptrend. Specifically, Mustache refers to when the 20-month simple moving average (SMA20) crosses the longer trend line on the monthly altcoin price chart. The golden cross between the faster SMA20 and the slower trend line has only happened twice before – in 2016 and 2020.

In both cases, this golden cross marks the beginning of a bull run for major altcoins, with an explosive rise in price. Mustache believes that another monthly golden cross for the SMA20 is on the horizon, which will happen as soon as tomorrow, which will predict a similar parabolic rally for altcoins based on historical precedent.

If Moustache’s analysis proves correct, altcoins may be on the cusp of a big bull market not seen since the glory days of 2017 and 2021. For now, traders seem content to sit on the sidelines and wait for confirmation of a trend change. But if the purchase volume increases, it could ignite the fire below the altcoin and trigger a parabolic rally.

Source: Golden Finance

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