📊 Golden Cross vs. Death Cross: Insights From Bitcoin’s History
Golden and Death Crosses are moving average signals based on the 50-day and 200-day averages, and they are often misinterpreted as tools for forecasting future price action. In practice, they reflect market sentiment after a trend has already begun.
These signals proved effective in 2020 and 2024 because broader factors such as market structure, trading volume, and macro conditions were aligned. However, they failed in 2021, when selling pressure had largely been exhausted before the signal appeared.
As a result, Golden and Death Crosses are most effective when used alongside market structure, volume analysis, and macro context, rather than in isolation.