The Bitcoin price has struggled to recover from its sharp drop below $100,000 in recent days, a move that rattled traders and briefly put pressure on the crypto market. in one of the weakest phases in many months. Bitcoin’s price action has been hovering around $90,000 since the drop, but over the past 24 hours marked by a break below $90,000.
Amid this bearish volatility, a new technical view from Tony “The Bull” Severino suggests Bitcoin’s next move may be more bullish than recent weakness implies.
A death cross is forming during the Bitcoin price downtrend
Tony’s analysis highlights the developing ‘death cross’ on the daily time frame, with the 50-day moving average now trending downward towards the 200-day moving average. The pattern is generally seen as bearish, but the placement of the moving averages and the slope of the short-term line show something different is happening on Bitcoin’s chart.
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The green 50-day average has gradually become lower after weeks of waning momentumand the red 200-day average is starting to level off from the long-term upward trend. As shown in the chart below, this death cross has formed around $110,000, and according to the analyst, Bitcoin could pump to this price level next week.
The reason a pump remains possible at this stage is directly related to how moving averages behave. After collapsing below $100,000, Bitcoin found support just below $92,000 and has since formed a series of smaller candles that early stages of a possible reversal.
If buyers take control, a rapid move towards the $103,000 to $110,000 region becomes realistic. However, the price action over the past 24 hours, which has pushed Bitcoin below $90,000, threatens this bullish outlook.
Bitcoin price chart. Source: @TonyTheBullCMT On X
The road to $110,000 this week
For Bitcoin to reach $110,000 in the coming days, the market would have to repeat the observed pattern several times in previous cycles: a strong relief rally just before or immediately after a death cross forms.
These rallies happen because sentiment becomes too pessimistic right as short positions start to pile up, leaving the price vulnerable to a sharp upward reaction. For that scenario to unfold now, however, Bitcoin would first have to convincingly get back above $90,000 and show it Momentum is shifting away from the recent sell-off.
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Interestingly, other analysts have pointed to bullish primers for Bitcoin despite the bearish price action. One such case is the Bitcoin SSR RSI, This was highlighted by a CryptoQuant community analyst named Maartunn, who shows increasing purchasing power of stablecoins relative to Bitcoin’s market capitalization.
On the other hand, a bearish indicator has risen with the SuperTrend indicator, which suggests a further decline of 67% in the price of Bitcoin. At the time of writing, Bitcoin is trading at $89,760, down 5.8% in the past 24 hours.
Featured image created with Dall.E, chart from Tradingview.com