Crypto analyst Colin revealed this the Bitcoin price has shown a death cross, which he noted was bullish for the flagship crypto. This comes amid BTC’s recent decline, which has wiped out all gains since the beginning of the year (YTD).
Bitcoin Price Flashes Death Cross, Marking a Potential Bottom
In one X messageColin stated that a death cross just flashed for the Bitcoin price, with the “ironically” bullish indicator activating at the same time as BTC marked the lower limit of its megaphone pattern. The analyst noted that this is a bullish setup from this point on as the death cross often marks the bottom. He indicated that this is likely the bottom, as BTC has ended at the bottom of the price megaphone pattern channel.
Related reading
Colin noted that these factors together indicate a high probability of an increase in the Bitcoin price from current levels. He added that a recovery is likely in the short term. However, the analyst noted that the bigger question is whether this would be a rebound to new all-time highs (ATHs) or just a relief rally on the way down in the US. a bear market. Whatever happens, he is optimistic that there will be an upward movement in the near term.
Colin also alluded to the fact that the Federal Reserve will end quantitative tightening (QT) by December, a move he described as another bullish catalyst for the Bitcoin price. This move is expected to inject more liquidity into BTC and potentially lead to higher prices for the flagship crypto. The Fed could also cut rates again at the December FOMC meeting, which would be a bullish catalyst for Bitcoin.
Another analyst confirms Death Cross
Popular crypto analyst Benjamin Cowen also confirmed this that the Bitcoin price just had a death cross. He noted that previous death crosses have marked local lows in the market. However, he added that the Death Cross rally will fail when the cycle is over, which could be the case this time the bull market is over.
Related reading
Cowen declared that it was time for the Bitcoin price to bounce if the cycle isn’t over would start within the next week. The analyst further noted that if there is no recovery within a week, another dump is likely before a bigger rally back to the 200D SMA, which he said would mark a macro lower high. Meanwhile, market analyst Subu Trade shared data about how BTC has responded after historic death crosses. The last deathcross took place in April this year, and the flagship crypto posted a 22% gain afterward.
At the time of writing, the Bitcoin price is trading around $95,100, down in the past 24 hours. facts from CoinMarketCap.
Featured image of Pngtree, chart from Tradingview.com