A crossover that is bearish is on the way. A pattern has emerged that is technical. This pattern suggests theoretically that the BTC price should continue to be weak. This could end up becoming a trap that sellers need to contend with. It also foreshadows a revival that is bullish.
The Price of Bitcoin
A candlestick chart using data from three days shows that the SMA, or simple moving average of the previous hundred candlesticks is near below the mark of two hundred candle SMA. This ends up confirming that the initial bearish crossover has been in place since 2018 December.
It has also been seen that historically, such crossovers have indicated the end when it comes to bear markets. They have also indicated that bull runs that are notable, are on the way.
In the month of December 2018, averages ended up crossing bearish. This is what trapped sellers on the market’s wrong side. BTC ended up bottoming at around $3,200.
They ended up spending the next three months in developing the base for their rally. Cryptocurrency managed to reach around $13,800 by the time June 2019 rolled around.
In February 2015, there was a bear cross that also happened to coincide with selling that was peak. Seven months later, BTC started a bull run that would last for multiple years.
Performances from the past are not a guarantee for results in the future. However, with the Fed being hawkish, what happened before could happen again. Bitcoin was last seen to trade around $21,730. This represents a gain of around 6% when it comes to a 24 hour basis.