Bitcoin Price Analysis: Brace for Further Downside as 'Dead Cross' Forms
CryptoNewsTerminal Staff12 Aug, 2024
Bitcoin Price Analysis: Brace for Further Downside as 'Dead Cross' Forms
Bitcoin (BTC) could be headed for further losses, according to analysts, as the cryptocurrency has formed a "dead cross" with its 50-day moving average crossing below its 200-day moving average. YouHodler Risk Manager Sergei Gorelov told The Block that this technical pattern suggests that "BTC could see further downside." BRN analyst Valentin Fournié also noted that BTC futures open interest is decreasing more than the price drop, which could exacerbate volatility. "In addition, the volume is low, so the price can shake a lot with low selling," Fournié said. "Volatility will likely be high through September, and it will range between $49000-$69000." The "dead cross" pattern is considered bearish, as it indicates that the bears are in control of the market. This could lead to further selling pressure on BTC, which has already lost more than 50% of its value since its all-time high in November 2021.
