Bitcoin worth had one other curler coaster efficiency final week, surging above $113,000 by mid-week earlier than falling again to round $107,000. Though the worth actions of high cryptocurrencies have stabilized over the previous few days, market uncertainty nonetheless appears to be the order of the day.
Nonetheless, the Bitcoin worth seems to be leaning extra in direction of a bearish setup, as evidenced by destructive shifts in associated technical indicators over an prolonged time frame. Right here's what occurred to the BTC worth the final 4 instances this indicator turned bearish:
BTC Value At Threat Of 70% Correction: Analyst
In a publish on social media platform The web skilled stated the market chief could have returned to a well-known place that has usually led to vital losses (about 70%) prior to now.
These bearish predictions are based mostly on modifications within the shifting common convergence/divergence (MACD) indicator, which reveals the connection between shifting averages of asset costs (on this context, the Bitcoin worth). Sometimes, the crossing of the MACD line above the sign line is a bullish sign for the asset worth.
In the meantime, when the MACD line crosses beneath the sign line, it signifies that the asset is adopting a bearish construction. As you possibly can see within the highlighted chart, the Bitcoin MACD line has crossed beneath the sign line on the month-to-month timeframe. Which means the flagship cryptocurrency could also be ready for a chronic downward worth motion.
Supply: @ali_charts on X
What's much more stunning is the historic efficiency of the Bitcoin worth each time this MACD crossover happens. In response to Martinez, the worth of BTC has fallen by a mean of 70% within the final 4 instances, and this indicator has turned destructive.
The final time the shifting common convergence/divergence indicator confirmed a downward development was in September 2021, and in November 2022, the market chief started to say no to across the $16,000 stage. As you possibly can see from the chart, the worth of Bitcoin fell by greater than 70% throughout this era.
If historical past is something to go by, this implies the BTC worth is prone to a 70% decline over the following few months, with the goal reaching round $33,000 on the present worth level.
Bitcoin worth at a look
As of this writing, the BTC worth is round $110,540, with no vital modifications over the previous 24 hours.
The worth of BTC on the each day timeframe | Supply: BTCUSDT chart on TradingView
Featured picture from iStock, chart from TradingView
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