Ethereum Nears Golden Cross: Could It Spark a Major Bull Run? 

• Ethereum’s golden cross could trigger a powerful price surge similar to past patterns.  
• Historical data shows golden connections often lead to massive gains for ETH.  
• Traders are watching Ethereum closely as it trades around $3,145 with bullish signs.  

Ethereum, the second-largest digital asset by market capitalization, is on the brink of a fundamental milestone — the 20-50 week Simple Moving Average golden cross. Recent data suggests this often leads to bullish momentum, and market participants are keenly watching for confirmation as ETH fluctuates around $3,145.  

A  cross occurs when a shorter indication, in this case, the 20-week SMA, crosses above a longer average, such as the 50-week SMA. This chart pattern, revered in financial analysis, signals a long-term uptrend. 

The previous Ethereum formed a 20-50 week in mid-2020, leading to a  rally that saw it climb from $228 to a peak of $4,878 by late 2021, gaining of over 2,000%. A similar formation emerged in mid-2021, where another golden cross showed the start of the turnaround from $1.7K to $4.6K..

Fast forward to 2025, and Ethereum is again on this pattern’s cusp. The 20-week SMA hovers near $3,161, while the 50-week SMA trails at $3,113. The convergence of these two measures suggests bullish pressure is building. If history repeats itself, traders could witness another explosive rally, with ETH  revisiting or surpassing its previous all-time highs.

The 7-day chart highlights Ethereum’s resilience in bouncing off support levels, including its recovery from the 2022 bear market lows near $870. It has climbed over 260% from those depths, supported by activity, the expanding DeFi ecosystem, and the transition to proof-of-stake.

What Could Be Driving the Momentum?

Several factors could contribute to the bullish outlook. First, corporate adoption continues to rise, with the coin staking now surpassing 30 million ETH. Second, recent token network upgrades, such as EIP-4844, aim to improve scalability and reduce exchange costs—a catalyst for DeFi and NFT growth.

Furthermore, on-chain metrics show declining balances on exchanges, a trend typically associated with reduced sell pressure. As of now, exchange-held accounts account for just 12% of the total supply, compared to 20% during the 2021 rally.

Risks and Market Sentiment

While the golden cross traditionally signals bullish potential, traders should remain cautious. Macroeconomic uncertainties, regulatory risks, and market volatility could temper Ethereum’s rally. Additionally, RSI  levels near overextended zones may indicate the possibility of short-term pullbacks.