Bitcoin’s Death Cross Looms Menacingly Over Crypto Market

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Last Updated on 11 January 2022 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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As the late ‘Prince’ (who later changed his name to an unspeakable symbol) knew already on Sign “O” the Times in 1987, the cross is an important symbol. Prince sang the quite bearish: black day, stormy night, no love, no hope in sight, Don’t cry, he is coming, Don’t die without knowing the cross.

The cryptosphere is also once again looking towards the cross, the bitcoin death cross that is. This mostly bearish indicator is portrayed within a candlesticks chart whenever the 50-day moving average dips below the 200-day moving average.

Forbes even published an article with the subtitle: how low can Bitcoin go?

As Bitcoin had a rather uneventful month of December followed by a very bearish week in January, the cross in question looms menacingly and should be confirmed later this week. It comes just days after the Federal Reserve announced a stop to ‘money printing’ and indicated it would raise interest rates earlier than foreseen.

Advertentie.

Bear trap?

US business bank Goldman Sachs in all expects the Fed to raise rates four times this year, whereas they previously declared that three would be enough.

But, there is also a sliver of hope as analysts pointed out that previous ‘death crosses’ on the Bitcoin chart were later said to be bear traps which marked temporary bottoms. This was the case in June 2021, in March 2020 and in October 2019.