Bitcoin Eyes $160K as Rare MACD Golden Cross Sparks Bullish September Rally

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  • BTC’s MACD golden cross below zero signals potential short-term rebound.
  • Historical patterns suggest a 40% rally, targeting $160,000.
  • Favorable US inflation data and potential Fed rate cuts support bullish momentum.

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Bitcoin (BTC) could surge to $160,000 in September after a key on-chain indicator flipped bullish, signaling renewed optimism for crypto traders. Despite September historically being a weak month for BTC, technical signals suggest this year may buck the trend.

MACD Golden Cross Sparks Optimism

New analysis from popular trader BitBull highlights a “golden cross” on Bitcoin’s moving average convergence/divergence (MACD) chart. On September 5, the MACD line crossed above the signal line, which is a nine-period exponential moving average of the MACD. This crossover is a widely used buy signal among traders.

What makes this golden cross particularly notable is its occurrence below the zero line—a scenario not seen since April. Negative MACD values typically indicate local downtrends, so this crossover could mark the start of a significant rebound. Historically, the last time BTC experienced a similar pattern, it rallied 40% in just one month, reaching a new all-time high. Analysts now eye $160,000 as a plausible 2025 peak if history repeats.

Macro Factors Support BTC Momentum

Bitcoin’s bullish technical outlook is further reinforced by favorable macroeconomic conditions. US inflation data has boosted risk assets, including BTC and gold, as traders anticipate potential interest-rate cuts by the Federal Reserve.

Fed target rate probabilities for September FOMC meeting (screenshot). Source: CME Group FedWatch Tool

The upcoming Consumer Price Index (CPI) print for August is a key event for markets. A lower-than-expected reading could increase the probability of a rate cut at the September FOMC meeting, providing additional tailwinds for BTC. “If we get a similar print, that’ll confirm the rate cut later this month, and markets will react positively,” noted trader Jelle.

Also Read: Critical CPI Week: Bitcoin Faces Breakout as Fed Rate Cut Looms

What Traders Should Watch

With the MACD golden cross and supportive macro environment, traders are watching BTC closely for a potential breakout. Short-term technical strength combined with favorable inflation data could make September an exceptional month for Bitcoin.

While no prediction is guaranteed, the convergence of on-chain indicators and economic factors makes the $160,000 target a realistic scenario.

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Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.