PayPal Holdings Inc. (NASDAQ:PYPL) has added another milestone to its recent comeback. The payments giant has formed a Golden Cross—a widely followed technical pattern that occurs when a stock’s 50-day moving average rises above its 200-day moving average.
Chart created using Benzinga Pro
Many traders view the signal as a sign that long-term momentum may be turning positive, and its appearance comes just weeks after billionaire hedge fund manager David Einhorn disclosed a new position in the company.
Einhorn Made PayPal a New Bet in Q2
According to DME Capital Management’s latest Form 13F filing, which reports the holdings of David Einhorn’s Greenlight Capital funds, Einhorn initiated a new position in PayPal during the second quarter, purchasing approximately 1.4 million shares worth about $61.5 million at quarter-end.
The investment made PayPal one of Greenlight’s notable new additions during the quarter, signaling that the veteran value investor saw an opportunity in a company that has spent the last few years rebuilding investor confidence after its pandemic-era boom faded.
Like all Form 13F filings, however, the disclosure reflects holdings as of June 30 and does not reveal whether Greenlight has since increased, reduced, or exited the position.
Now the Chart Is Sending the Same Message
Since those holdings were reported, PayPal’s stock has continued to strengthen.
The newly formed Golden Cross is one of the most closely watched technical signals in the market because it suggests that a stock’s intermediate-term trend has overtaken its long-term trend. While no chart pattern guarantees future returns, many investors view it as confirmation that bullish momentum is building.
The signal arrives after PayPal shares climbed steadily through recent weeks, pushing the stock above both its 50-day and 200-day moving averages.
Investment Takeaway
Neither a billionaire investor’s purchase nor a Golden Cross alone is enough to predict where PayPal goes next. But together, they tell a more interesting story.
Einhorn’s new position reflects a fundamentally driven investment thesis, while the Golden Cross suggests the market’s technical picture has begun improving as well.
It’s a rare moment where a prominent value investor and momentum-focused traders appear to be arriving at the same stock from different directions—a combination that could keep PayPal on investors’ watchlists as its turnaround story continues.
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