Bitcoin, the world’s largest cryptocurrency, is facing a new bearish death cross, according to a recent analysis. The analyst, known as ‘Mags,’ highlighted key pattern formations and future outlook for Bitcoin. This bearish death cross occurs when the 50-day Moving Average (50 MA) crosses below the 200-day Moving Average (200 MA) on the daily chart. This pattern typically signals short-term weakness in the market and the potential for further price declines.
Mags pointed out that this isn’t the first time Bitcoin has experienced a bearish death cross. In fact, it is the second time since its price bottom at $15,500. The previous bearish cross happened in September 2023 when Bitcoin was trading at $25,000, less than half of its current price. After the 2023 bearish cross, Bitcoin traded sideways for weeks with high volatility before eventually reclaiming the moving averages and triggering a strong upside rally.
The current death cross pattern may lead to a few weeks of “choppy price action” for Bitcoin, according to Mags. However, if Bitcoin manages to reclaim the moving averages, a bullish confirmation could follow, potentially leading to a strong rally. This analysis suggests that Bitcoin could be on the brink of a significant bullish cross, similar to previous trends.
Optimistic Price Forecast
Meanwhile, another crypto analyst, ‘Milkybull Crypto,’ shared a more optimistic price forecast for Bitcoin. By referencing a price chart that tracks Bitcoin’s movement from 2022 to the end of 2024, Milkybull Crypto drew parallels between the current market situation and events in 2023. In 2023, many analysts predicted a significant Bitcoin crash to $10,000, but the market surprised everyone with an unexpected upward momentum.
Milkybull Crypto believes that a similar situation is unfolding in the market now, with most analysts predicting a Bitcoin cycle top. He expects that in the fourth quarter of 2024, Bitcoin will surpass all expectations and rise towards $95,000 before experiencing a massive surge to $145,000. This forecast offers a more optimistic view of Bitcoin’s future price movements compared to the bearish death cross analysis.
Current Price Movement
As of the latest update, the price of Bitcoin is trading below the $59,000 mark. This current price point reflects the ongoing uncertainty and volatility in the market, with differing opinions on Bitcoin’s future direction. Whether the bearish death cross or the optimistic price forecast will prevail remains to be seen, but both analyses provide valuable insights into the potential trajectory of Bitcoin in the coming weeks and months. Investors and traders will need to closely monitor these developments to make informed decisions in the ever-changing cryptocurrency landscape.