Dec 28, · Here are some highly-specific technicals that can help you determine if Bitcoin’s trend is bearish: The closing price should be below the period simple moving average (SMA). The moving average should be sloping downward, confirming a strong bearish bias. Bitcoin should also be making a series of lower swing highs and lower swing lows. Bitcoin risks sliding back into bearish territory should onchain activity and overall market health continue to decline, warns analytics firm 24crypto.de latest market update from Glassnode. Dec 02, · BTC is Forming a Grave Bearish Divergence One trader recently observed the formation of a bearish RSI divergence on Bitcoin’s daily chart. This pattern could forecast an imminent trend change back into bears’ favor and could be bolstered by any high time frame close below $19,
Bearish market bitcoinBitcoin’s Options Market Skews Bearish as Spot Price Loses Ground
It appears to be degrading each time it is tested, as BTC has been setting higher lows following each rejection here. This is a positive sign that may mean a breakout rally is brewing. This strength may be reverted, however, as the cryptocurrency is beginning to show some signs of weakness due to a bearish divergence forming on its daily chart. One analyst is looking towards this as a potentially grave sign.
The selling pressure here is intense, and each attempt has resulted in it facing massive selloffs. That being said, the intensity of each selloff seen following rejections at this level has subsided greatly with each test, which is a testament to growing weakness amongst bears. Could you be next big winner? I consent to my submitted data being collected and stored.
It has caused All Rights Reserved. After an 83 percent decline or greater , expect to wait a while before witnessing a new ATH. Part of the reason for this is that the investors who suffered major losses fail to return to the market once the trend reverses higher.
Therefore a new group of enthusiastic Bitcoin investors needs to step in to take their place before a new bull market can begin. This can take years, depending on investor sentiment and economic conditions. It takes an average of days for Bitcoin to travel from a bear market low up to a new ATH. More likely is that the next Bitcoin ATH will arrive somewhere between and 1, days after December 15, Start marking your calendars! However, if the recent lows of December 15, , fail to hold, then all bets are off.
A new set of calculations will need to be run for the bear market decline that began in December The MACD signal lines are still firmly in bearish mode. Image: TradingView. The bear market definition is certainly useful. However, it may not provide you with a complete array of in-context, tradable technical knowledge. Is that a no-touch trade setup, simply because it occurs within the textbook definition of a bear market?
No, of course not. It might even turn out to be a big winner, especially if the price is above its period SMA. If you see all three of those qualifiers on your Bitcoin chart, a strong bearish trend is in control. You should not be looking to take long trades at all. However, you can choose to short rallies, short breakdowns or even choose to wait the market out. Patiently waiting for a bear market to end may be the safest strategy for newer traders and investors.
However, the key week simple moving average recently acted as an important reversal point. Here are some clues to help you determine when this long bear market will be complete:. This article is still…. Donald Pendergast. Newsletter Sidebar. This field is for validation purposes and should be left unchanged.