- The "golden cross" configuration that forms on the price chart Ethereum, confirms the improvement that has already occurred in the technical picture.
- The Golden Cross does not guarantee bullish momentum.
A golden cross pattern is forming on the Ethereum price chart , with the altcoin price moving towards a potentially significant moving average crossover while remaining below resistance.
ETH is currently trading near $1900, with the 100-day moving average still falling and the 50-day moving average turning up and currently at $1824. As a result, the distance between them in both directions is decreasing. A bullish "golden cross" pattern for Ethereum would occur if the 50-day moving average eventually crosses below the 100-day moving average.
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These crosses indicate that the recent price increase has surpassed the slow moving average, which reflects the long-term trend. The problem is that golden crosses are lagging indicators. Instead of pushing the price higher, they confirm an improvement that has already occurred.
Therefore, for a crossover to occur, ETH must continue its recovery. Since July, Ethereum has frequently struggled in the $1900 to $1950 range. Furthermore, a descending resistance line has formed at recent local highs, creating an additional barrier in this area.
This area takes on even greater significance due to the 100-day moving average at $1919. As a result, a clear break above $1920–$1950 would strengthen Ethereum's current price structure and increase the likelihood of the 50-day moving average completing its breakout. Currently, momentum doesn't clearly favor either scenario.
The RSI is currently around 49,8, a neutral reading. Downside risk is still evident. The first significant support lies at the ascending 50-day moving average at $1824. A loss of this support could lead to the opening of the $1750–$1800 range and a significant delay in the breakout.
Even if the "golden cross" materializes, Ethereum will still have to face its 200-day moving average at $2132. This will still be a serious test of the long-term trend. Therefore, the emerging cross is a positive signal, but it shouldn't be interpreted as a bullish trigger.
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