Bitcoin (BTC) Golden Cross Signals Bullish Trend Reversal

With the 50-day EMA now crossing above the 200-day EMA, Bitcoin has formally printed a golden cross on the daily chart.

The 50-day EMA crossed above the 200-day EMA, forming a golden cross on the daily chart for Bitcoin. This classic bullish technical signal is often a sign of the start of a longer-term trend shift.

At $96,516, Bitcoin is still trading above all major fib levels and key moving averages, having recovered a better portion of the price action seen during the February-March breakdown. While it does point to underlying strength and a shift in trend, the golden cross isn't necessarily an immediate signal for a sudden, sharp move in either direction.

The current price range, which is nearing the point of the early 2025 breakdown, could act as structural and psychological resistance. After a strong rally - and with RSI approaching overbought territory at 69 - a short-term pullback is becoming increasingly likely as the asset consolidates. But the narrative isn't just focused on technical matters.

On May 1, net inflows of $422 million were made into Bitcoin spot ETFs, with BlackRock's IBIT leading the way at $351 million. This showcases the strong institutional appetite present in the market. These types of inflows help to provide a strong foundation for Bitcoin and could help to prevent it from moving lower.

In contrast, Ethereum ETF activity was much lower, reporting a net inflow of $6.49 million and outflows only seen from Grayscale's ETHE. Even with the momentum seen, it would be beneficial to take a step back here. The precise range where Bitcoin's last breakdown began has been reached again, and markets often stall when they return to these areas.

Consolidation between $94,000 and $97,000 would reset the RSI, shake out weak hands and set the stage for a potential breakout toward $100,000. In conclusion, the golden cross does indicate that the macro trend for Bitcoin is turning bullish, but short-term prudence is still needed.

XRP

The asset has now arrived at the very top of a converging wedge, which is formed by a recently constructed ascending support trendline and a long-standing descending resistance line after spending months glued in a descending triangle pattern.

Currently trading at about $2.19, XRP is wedged between a rising trendline that has been protecting bulls since early April and a downtrend that has dominated price action since January.

This configuration creates a textbook volatility pinch, which usually precedes a strong breakout - or a steep breakdown. Volume has also been decreasing, which is common for assets that are approaching the apex of this type of structure.

With RSI at around 52, the reading is neutral, showing that neither buyers nor sellers are in complete control. The EMAs are closely clustered at 50, 100 and 200, further highlighting the indecisiveness and coil of price pressure. If XRP breaks out of the descending resistance, which is currently at about $2.23 on strong volume, it would confirm a pattern breakout with a possible measured move aiming for the $2.70-$3.00 zone.

This strong continuation signal could lead to an aggressive short-term gain. However, a rejection at the current levels or the failure to hold the ascending support near $2.17 could result in a pullback toward $1.98, testing the 200 EMA and perhaps shaking out weak hands before any sustained upward move.

Solana

When Solana's price action begins to resemble a classic double-top formation, a bearish pattern that typically signals reversals, traders may be given an early warning sign.

Currently trading at $148, SOL is struggling to break above the resistance level between $150-$152, which corresponds to its previous local high. This stifles any further advance and sets the stage for a possible trend reversal if the zone isn't breached on the second attempt.

The convergence of overhead resistance such as the 100-day EMA and the still-distant 200-day EMA favors this bearish scenario. The price has shown exhaustion following a strong rally from April lows near $115, and it is currently stalling just below those zones.

Bulls who rely solely on momentum to push higher may be wary of the RSI, which is slightly below 60, indicating cooling momentum without being oversold. Volume is also beginning to taper off as the price approaches resistance, providing another indication that buyers are losing interest.

If SOL fails to maintain itself above the $140 support, which is the neckline of this possible double-top, it is more likely to fall quickly toward the 50-day EMA near $132. A confirmed collapse below that would open the door for more significant retracements, perhaps as much as $110 or even $120.

This setup should