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Bitcoin’s impending ‘death cross’ might not be ‘so deadly’ for BTC bulls — Analyst

Bitcoin appears on the verge of confirming a death cross, but one analyst says historical data suggests it's nothing to worry about.

Bitcoin’s (BTC) price action looks to be approaching a “death cross,” but one crypto analyst believes it might not be “so deadly” based on historical patterns. Instead, it could be a bear trap before Bitcoin enters a “super bull rally,” looking at a theoretical BTC’s seven-year super cycle.

A death cross is a bearish signal that occurs when the 50-day simple moving average (SMA) of an asset’s market price falls below the 200-day SMA.

Currently, Bitcoin’s 50-day SMA is at $62,141 and falling, indicating a potential crossover with the 200-day SMA at $61,676.

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Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

Benjamin Cowen Says Bitcoin Bulls and Bears About To Get Wrecked by ‘Death Cross’ Fakeout – Here’s His Outlook

Benjamin Cowen Says Bitcoin Bulls and Bears About To Get Wrecked by ‘Death Cross’ Fakeout – Here’s His Outlook

A widely followed crypto analyst says that Bitcoin (BTC) bulls and bears are about to get demolished by an incoming fakeout. In a new video update, crypto strategist Benjamin Cowen tells his 787,000 YouTube subscribers that BTC bulls and bears tend to get wrecked by a fake “death cross” during Bitcoin’s pre-halving year. Bitcoin’s halving […]

The post Benjamin Cowen Says Bitcoin Bulls and Bears About To Get Wrecked by ‘Death Cross’ Fakeout – Here’s His Outlook appeared first on The Daily Hodl.

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

Analyst Benjamin Cowen Says Bitcoin Setting Up for Potential Relief Rally – But There’s a Catch

Analyst Benjamin Cowen Says Bitcoin Setting Up for Potential Relief Rally – But There’s a Catch

Crypto strategist Benjamin Cowen is outlining Bitcoin’s (BTC) potential price action over the course of the remaining weeks and months of 2023. Cowen tells his 764,800 followers on the social media platform X that Bitcoin is poised to drop by single-digit percentage points before rallying to ensure the completion of a bearish pattern. “Good chance BTC […]

The post Analyst Benjamin Cowen Says Bitcoin Setting Up for Potential Relief Rally – But There’s a Catch appeared first on The Daily Hodl.

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

Ethereum price prints ‘death cross’ after losing 13% versus Bitcoin from 2023 peak

ETH price is in danger of losing another 20% versus Bitcoin by March, based on a mix of technical and fundamental indicators.

Ethereum's native token, Ether (ETH), has printed a death cross technical pattern versus Bitcoin (BTC) for the first time since May 2022, suggesting more pain ahead for ETH/BTC in the coming weeks.

Previous ETH price death cross preceded 27.5% drop

A death cross appears when an asset's short-term 50-period moving average moves below its long-term 200-period moving average. Such a chart pattern was seen in December 2007, foahead of the global economic crisis.

Similarly, the ETH/BTC's previous death cross in May 2022 preceded an approximately 27.5% price correction, dropping in parts as investors reduced exposure to altcoins and sought safety in Bitcoin amid the Terra collapse

ETH/BTC daily price chart. Source: TradingView

The latest ETH/BTC death cross could lead to a similar short-term selloff, primarily due to the U.S. Securities and Exchange Commission's crackdown on crypto staking services. Staking is a key feature of many blockchains, including Ethereum.

Related: Why is Bitcoin price up today?

Meanwhile, capital flows to and from Bitcoin and Ethereum-based funds also reveal BTC gaining the upper hand. Interestingly, Bitcoin-based investment funds have attracted $183 million in 2023 compared to Ethereum's $15 million, per CoinShares' latest weekly report.

Next targets for ETH/BTC

The next potential targets to watch for ETH/BTC are best visible on the weekly chart.

Namely, the 0.067-0.065 BTC area, which has served as a strong support level in recent history. A successful rebound here could have ETH price rebound toward its multi-month descending trendline resistance (black) near 0.075 BTC.

ETH/BTC weekly price chart. Source: TradingView

Conversely, a decisive break below the 0.067-0.065 BTC range could have ETH enter an extended selloff toward the 200-week exponential moving average (200-week EMA; the blue wave) near 0.055 BTC, down about 20% from current price levels.

Notably, the 200-week EMA served as a bottom to the November 2021-June 2022 bear cycle. 

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

Here’s What Historically Happens to Bitcoin After Reaching Its ‘Death Cross,’ According to Top Crypto Analyst

Here’s What Historically Happens to Bitcoin After Reaching Its ‘Death Cross,’ According to Top Crypto Analyst

A popular crypto analyst is revealing what history says will happen to leading digital asset Bitcoin (BTC) after it once again reaches its “death cross.” In a new video update, pseudonymous analyst Rekt Capital tells his 44,000 YouTube subscribers BTC has recently hit its death cross once again, meaning its short-term moving average has dipped […]

The post Here’s What Historically Happens to Bitcoin After Reaching Its ‘Death Cross,’ According to Top Crypto Analyst appeared first on The Daily Hodl.

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

US Inflation Skyrockets, 64% of Americans Live Paycheck to Paycheck, S&P 500 Chart Shows Death Cross Imminent

<div>US Inflation Skyrockets, 64% of Americans Live Paycheck to Paycheck, S&P 500 Chart Shows Death Cross Imminent</div>Inflation continues to rear its ugly head in the lives of Americans, as 64% of U.S. residents are living paycheck to paycheck. Equities futures indicate Wednesday’s trading sessions may see stocks heal after the last two days of significant capitulation. However, the S&P 500 index is showing an ominous death cross ahead, which means the […]

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

WAVES risks ‘death cross’ plunge after price rallies 88% in six days

WAVES price has rallied to a historically significant level of resistance, raising death cross fears.

A major rally in WAVES price this week that saw it nearly double risks faltering in the coming sessions due to a "death cross" technical pattern.

WAVES price crashed 85% after 'death cross' in 2018

A death cross measure appears when an asset's long-term moving average closes above its short-term moving average.

Notably, on the WAVES' weekly chart, its 50-week exponential moving average (50-week EMA; the red wave) jumped above its 20-week exponential moving average (20-week EMA; the green wave) in the week ending Feb. 21 — a bearish crossover.

WAVES/USD weekly price chart featuring 'death cross.' Source: TradingView

That is WAVES' first "death cross" occurrence on a weekly chart since June 2018. In both cases, the correction in the WAVES market appeared due to selloff across the broader crypto market following a massive bull run.

As it happened, WAVES fell by up to 85% after the 2018 death cross formation, despite briefly closing above both its 20-week and 50-week EMAs in impressive but fake bullish rebound moves.

Therefore, WAVES' latest upside retracement, albeit its best weekly performance since April 2018, still treads under long-term bearish risks. As a result, a price drop below the 20-week and 50-week EMA could spell another selling round in the market.

That WAVES selloff level

To recap, WAVES, the native token of a blockchain platform of the same name, rallied by as much as 88% week-to-date to reach over $21 apiece during the weekend.

As Cointelegraph covered earlier, migration to Waves 2.0, partnership with interoperable blockchain service provider Allbridge, and an upcoming $150 million fund to boost Waves' growth in the U.S. served as tailwinds to WAVES upside boom.

Related: 3 reasons why Waves price gained 100%+ in the last week

But signs of correction have emerged as WAVES falls nearly 10% from its local top near $21 this Saturday.

Interestingly, the inflection point coincides with the 1.00 Fib line of the Fibonacci retracement graph made from the 21.60-swing high to 0.54-swing low, which served as key resistance during January 2018, April 2021, and November 2021 corrections — as shown in the chart below.

WAVES/USD weekly price chart featuring its 'critical resistance.' Source: TradingView

For instance, in April 2021 and November 2021, bulls attempted to flip $21.60 as support but failed. As a result, WAVES has spent most of its time under the said 1.00 Fib level than above it, suggesting an unstable upside sentiment around it.

The Fibonacci fractal suggests that WAVES would undergo a pullback move toward its next line of supports near $17, $13.50, and $11. Conversely, a decisive move above $21.60 could have bulls retest levels above $34.50.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

Solana’s weekend bounce risks turning into a bull trap — Can SOL price fall to $60 next?

More bearish cues for SOL comes from a bull flag setup that's now breaking to the downside.

A rebound move witnessed in the Solana (SOL) market this weekend exhausted midway as its price dropped below the $90 level from a high of $96 on Feb. 21. In doing so, SOL price technicals are now risking a classic bearish reversal setup.

Solana price risks dropping to $60

Dubbed head-and-shoulders (H&S), the technical pattern emerges when the price forms three peaks in a row atop a common support level (called a neckline). As it typically turns out, the pattern's middle peak, called a "head," comes longer than the other two peaks, called theleft and right shoulders, which come to be of similar heights. 

The H&S pattern tends to send the prices lower—at length equal to the maximum distance between the head and the neckline—once they decisively break below its neckline. As a result, Solana, which has been forming a similar technical structure lately, risks sliding toward $60, or almost 30%.

SOL/USD daily price chart featuring head-and-shoulders setup. Source: TradingView 

Interestingly, the H&S downside target, near $60, was also instrumental as support in August 2021, right before Solana's price rally to its record high above $250.

Bear flag increases downside risks

The risks of Solana undergoing a period of another major selloff have been also increasing due to a technical pattern called a "bear flag."

Related: Bottom ahead? Solana paints its first 'death cross' as SOL losses 50% in January

Notably, SOL's price has been breaking out of the bearish continuation setup. In doing so, it now risks falling by as much as the length of its previous downtrend, called "flagpole," when measured from the point of breakout, as shown in the chart below.

SOL/USD daily price chart featuring bear flag setup. Source: TradingView

As a result, SOL's bear flag breakout risks sending its price to $60 or lower, like the H&S pattern.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

Bottom ahead? Solana paints its first ‘death cross’ as SOL losses 50% in January

Recently, death crosses between the 50-day and 200-day exponential moving averages have acted as a reliable predictors of bottoms.

Solana (SOL) looks poised to paint its first “death cross” this week, raising fears that its ongoing selloff would continue further into February.

Real selloff threat

Notably, the SOL price's 50-day exponential moving average (50-day EMA; the red wave) will eventually close below its 200-day EMA (the blue wave), signaling a bearish crossover, called a death cross, that typically prompts traders to sell.

SOL/USD daily price chart featuring its 50-200 EMA death cross. Source: TradingView

The threat surfaces as SOL looks to close January at nearly a 50% loss — as of the month's final day, the Solana token was down by over 2.50% to nearly $91, compared to almost $180 at the start. Meanwhile, the catalysts behind SOL's price crash remain pretty much intact.

Crypto-assets have fallen this month as traders have attempted to assess how fast the Federal Reserve would increase its benchmark rates from near-zero levels to tame booming inflation and tighter jobs market. Solana, as a result, has wiped half its market valuation in January from $55.19 billion to $28.79 billion; that is, after it closed 2021 at a whopping 11,144% profit.

That has got some financial experts to expect a "crypto winter" ahead, a term referring to concerning bearish cycles in the cryptocurrency market, such as the one seen during 2018 wherein digital assets' combined market cap fell by more than 80%.

As of now, SOL's interim bullish outlook hangs over its possibility to hold above $83, its current support level. A break below the said price floor could have the Solana token find its next pullback opportunity not until $65, as shown in the chart below.

SOL/USD daily price chart featuring its interim support targets. Source: TradingView

Both support levels were instrumental in sending the SOL/USD pair to its record high above $260 last year.

Philip Gunwhy, partner at Blockasset.co, remained long-term bullish on Solana, citing its exponential growth in the decentralized finance (DeFi) and nonfungible token (NFT) sectors that, in turn, tends to boost SOL's demand. However, the analyst noted that SOL's swift rebound in the short term depends on the performance of the broader crypto ecosystem.

"For Solana, maintaining solid support at $65–$85 area is undoubtedly the primary focus for the week while maintaining a longer-term focus to retest its All-Time High around $260," Gunwhy said.

Rebound scenario

No previous data shows how SOL traders react to a death cross since it will be Solana's first 50–200-day EMA bearish crossover to date. But considering that people who trade SOL have been trading Bitcoin (BTC) over the recent years, one can notice that death crosses bother them very little.

For instance, a 50–200-day EMA crossover, witnessed in the Bitcoin market in June 2021, followed a drop towards $29,000. But a month later, the BTC price bounced back strongly, eventually reaching its all-time high of $69,000 in early Nov. 2021.

BTC/USD daily price chart featuring recent death crosses. Source: TradingView

Similarly, over the past decade, death crosses in the S&P 500 (SPX) have lost their significance due to false bearish alarms. For instance, the last two bearish crossovers between the SPX's 50-day EMA and 200-day EMA — in December 2018 and March 2020 — led to bottom formations, followed by strong price rebounds.

S&P 500 daily price chart featuring recent death crosses. Source: TradingView

That raises the possibility that SOL's death cross would have its price bottom out in the coming sessions, followed by a bullish reversal. In doing so, the Solana token may eye previous support/resistance levels for a potential rebound move towards its 200-day EMA.

SOL/USD daily price chart featuring rebound scenarios. Source: TradingView

More cues for a bullish rebound also come from the SOL price's oversold relative strength index (RSI), a classic buy signal.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’

Will this time be different? Bitcoin eyes drop to $35K as BTC price paints ‘death cross’

While recent bearish crossovers between Bitcoin's 50-day and 200-day exponential moving averages failed to push prices lower, this time could be different.

Bitcoin (BTC) formed a trading pattern on Jan. 8 that is widely watched by traditional chartists for its ability to anticipate further losses.

In detail, the cryptocurrency's 50-day exponential moving average (50-day EMA) fell below its 200-day exponential moving average (200-day EMA), forming a so-called "death cross." The pattern appeared as Bitcoin underwent a rough ride in the previous two months, falling over 40% from its record high of $69,000.

BTC/USD daily price chart. Source: TradingView

Death cross history

Previous death crosses were insignificant to Bitcoin over the past two years. For instance, a 50-200-day EMA bearish crossover in March 2020 appeared after the BTC price had fallen from nearly $9,000 to below $4,000, turning out to be lagging than predictive.

Additionally, its occurrence did little in preventing Bitcoin from rising to around $29,000 by the end of 2020, as shown in the chart below

BTC/USD daily price chart featuring March 2020 death cross. Source: TradingView

Similarly, a death cross appeared on the Bitcoin daily charts in July 2021 that — like in March 2020 — was more lagging and less predictive. Its occurrence did not lead to a massive selloff. Instead, BTC's price merely consolidated sideways before rallying to $69,000 by November 2021.

BTC/USD daily price chart featuring death cross. Source: TradingView

But the bearish moving average crossovers in both the instances, as mentioned above, accompanied a piece of good news, which may have limited their impact on the Bitcoin market.

For instance, the Bitcoin price recovery in July 2021 came majorly in the wake of rumors that Amazon would start accepting cryptocurrencies for payments — that later turned out to be false — and following a conference, dubbed "The B-Word," which saw Twitter CEO Jack Dorsey, Tesla CEO Elon Musk, and ARK Invest CEO Cathie Wood speaking highly in favor of Bitcoin.

Similarly, Bitcoin recovered sharply from its below $4,000-levels in March 2020, primarily after the U.S. Federal Reserve announced its loose monetary policies to contain the aftermath of the coronavirus pandemic-led stock market crash.

The death cross this time looks dangerous

Bitcoin's latest decline reflected growing investor concern about the Fed's decision to aggressively unwind its loose monetary policies—including the dialing back of its $120 billion a month asset purchasing program followed by three rate hikes—in 2022.

Typically, rising interest rates make holding volatile assets like Bitcoin less appealing than government bonds, which offer guaranteed yields.

"This is proof that bitcoin acts like a risk asset," Noelle Acheson, head of market insights at crypto lender Genesis Global Trading, told the Wall Street Journal, adding that the short-term holders would be the "closest to the exit."

Related: Bitcoin may pass $30K September lows, trader warns

As a result, the overall reduction in cash liquidity, coupled with the death cross formation, could trigger further selloffs in the Bitcoin market. However, that is unless the BTC price rebounds from its current support level around $40,000, the 0.382 Fib line  shown in the chart below.

BTC/USD daily price chart featuring Fib retracement levels. Source: TradingView 

Nonetheless, a break below $40,000 may risk sending the Bitcoin price to the next Fib line support near $35,000.  

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Bitcoin counts down to $100K BTC price as shorts risk ‘violent breakout’