Key Points
- Bitcoin (BTC) maintains pressure on overhead liquidity, with market analysis focusing on a potential new “golden cross”.
- Liquidity at $67,000 and above remains a limiting factor, totaling around $75 million at the time of writing.
Bitcoin (BTC) continued to exert pressure on overhead liquidity on May 17, with market analysis focusing on a possible new “golden cross” on lower timeframes.
Bitcoin Chart Bullish Indicators
The BTC price action hovered near its highest levels since mid-April. At the time of writing, liquidity at $67,000 and above, which has been limiting upside potential, amounted to approximately $75 million, as per data from CoinGlass.
Despite being below both 2024 and 2021 all-time highs, Bitcoin has sparked interest among market observers. A popular pseudonymous trader, Moustache, highlighted two specific trendlines.
Imminent Golden Cross
Moustache indicated that a “Golden Cross” of BTC is imminent on the 12-hour chart. A golden cross occurs when a shorter-term moving average crosses above a longer-term equivalent. The last time this happened was in October of the previous year, just before Bitcoin made most of its recent gains.
“The last bullish cross was over six months ago. Since then, Bitcoin has risen by over 170%,” Moustache added.
Another trader, Titan of Crypto, suggested that the Ichimoku Cloud indicator might follow the same trend. “BTC seems to be repeating the same pattern from early 2024,” he mentioned in a post on May 16, adding that BTC/USD had an upside of more than 60% when the Ichimoku requirements were last met.
Ichimoku Cloud Supports $60,000 BTC Price
Titan of Crypto was among those who noted a shift of $60,000 from resistance to support. That area includes various bull market trendlines, all converging at the same point. Among them are the short-term holder realized price and the 100-day moving average, which is rising quickly and is now above $62,000.
“BTC is perfectly flipping previous resistance into support,” Titan of Crypto summarized alongside an Ichimoku chart.
