Ethereum forming bullish technical indicators

After a 2x upward movement in price, Ethereum, the world's biggest smart-contract blockchain, has formed its first bullish golden cross since Feb. 19, 2017.Understanding the Moving Averages.

Prior to diving into a price analysis of the second largest cryptocurrency in terms of market cap, some of the technical terms used in this study will be defined for a better comprehension of the data.

A moving average is an indicator that analyzes different data points by generating a sequence of averages.

A golden cross occurs when a short-term moving average crosses above a long-term moving average signaling a potential bullish breakout.

On Feb. 19, 2017, the 50-day moving average crossed above the 200-day moving average creating a golden cross on Ethereum's daily chart for the first time since it was released in Jul.y 30, 2015.

10, 2018, when the 50-day MA moved below the 200-day MA that the market gave a clear signal that the trend was about to change from bullish to bearish.

Ethereum's bear market officially started upon the emergence of the death cross as it began a steady decline that lasted 11 months.

19, 2019, a golden cross formed on the daily chart after a 109.93 percent bullish momentum.

The cross could be signaling a definitive upward turn that might be setting Ethereum up for future upward movement.

Even though many traders see a golden cross pattern as one of the strongest signals that could start a bull market, it also regularly fails to be validated and change a trend.