Bitcoin Weekly Momentum Indicator Flips Bearish For First Time Since 2020

2021-3-24 18:30

Bitcoin price is back in the mid-$50,000 range, after several rejections from resistance at above $60,000 per coin. A visit to support levels to test demand much lower might soon become a reality now that a technical indicator measuring momentum has flipped bearish for the first time since 2020.

Here’s what this could mean for the leading cryptocurrency by market cap’s current bull run.

Bitcoin Momentum Turns Bearish For First Time Since Late 2020

When Bitcoin broke above $13,000 and set a higher high for the first time beyond the 2019 peak, momentum carried the cryptocurrency tens of thousands of dollars higher. At the current peak, each BTC was selling for a high of just below $62,000 but after repeated failed attempts to rally higher, that bullish momentum is beginning to fizzle out.

RELATED READING | A DECREASE IN BITCOIN WHALES SUGGESTS A BEAR MARKET IS DUE

The Moving Average Convergence Divergence indicator, while considered a lagging indicator, has begun to turn down on weekly timeframes for the first time since the big bullish breakout back in October 2020.

Bitcoin has crossed bearish on the weekly LMACD for the first time since the bullish breakout in October 2020 | Source: BTCUSD on TradingView.com

Both a bearish crossover of the two moving averages and the histogram flipping red suggests that momentum has begun to turn downward, and a correction is likely.

The signal is only valid if the weekly candle closes below around $54,500, in which the bearish crossover will be confirmed.

Lagging MACD Has Near-Perfect Track Record For Calling Crypto Tops

Bulls, however, still have several days left to uncross the currently bearish signal. If they don’t, bears could take over for weeks to come. Past bearish crossovers on weekly timeframes have marked mid-to-long term tops in the cryptocurrency market, including both the 2013 and 2017 bull market peaks.

RELATED READING | THIS ON-CHAIN METRIC SAYS BITCOIN RISK IS THE HIGHEST IN THREE YEARS

However, there was also such a crossover at the 2019 peak, which clearly wasn’t a long-term top leading to an extended bear market. That leaves the potential there for several twists and turns in the coming months, similar to the 2017 bull run.

Past instances of flipping red on the weekly LMACD at such levels has resulted in a bear market | Source: BTCUSD on TradingView.com

The logarithmic MACD brushing up against a trendline where past cycles topped, however, doesn’t look promising for Bitcoin bulls.

Another scenario that cannot be ruled out, is Bitcoin breaking through the trendline, causing momentum to further soar to the upside. Such a scenario could provide the momentum necessary to take the leading cryptocurrency by market cap to prices of $100,000 and more per coin, which analyst across the finance industry are projecting.

Featured image from Deposit Photos, Charts from TradingView.com

Similar to Notcoin - Blum - Airdrops In 2024

origin »

MobileBridge Momentum (CHF) на Currencies.ru

$ 66601.54 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 0.00 %
Cегодня L: $65231.82 - H: $66715.22
Капитализация $0 Rank 99999
Цена в час новости $ 51094.76 (30.35%)

2020 time bitcoin momentum indicator bearish lower

Источник: bitcoinist.com

2020 time → Результатов: 126


Фото:

Square Buys Another $170 Million in Bitcoin, Initial Investment Up 376%

Square has made this Bitcoin investment public along with its Q4 2020 and full year 2020 results release. This is not the first BTC purchase made by Square. Its first tryst with Bitcoin was announced in October last year when it made a purchase of 4,709 BTC worth about $50 million at the time of … Continued The post Square Buys Another $170 Million in Bitcoin, Initial Investment Up 376% appeared first on BeInCrypto.

2021-2-24 16:00


Фото:

Analysts Speculate Money Boom as M2 Supply Follows Upward Trend

According to financial analysts, the money supply has seen a 26% increase since February 2020. The last time that level of increase transpired was over 70 years ago. Facing Unique Financial Times Bitcoin, which several analysts term as a ‘speculative asset’, has recently had price surges, reaching new all-time highs in just a couple ofRead More

2021-2-23 20:00


Фото:

Scalability and High Gas Fees behind Ethereum’s Failure to Double All-Time High Price Like Bitcoin

The world’s second-largest cryptocurrency Ethereum is in the spotlight for underperforming this bull market compared to Bitcoin. Data by CoinGecko shows that Bitcoin has doubled its price 19 times in less than a year, with impressive feats such as rising from $31,457 on January 2, 2020, to its ATH of over $41,000. In the same time frame, […]

2021-1-20 23:17


Фото:

Bitcoin price continues to hit new milestones

The price of Bitcoin has seen massive growth over the past two weeks. The coin reached a new ATH, only to progress even further up after a brief correction. The coin’s most recent record is $28,288, and while there is not a lot of time left in 2020, it is still possible that BTC could have one last surge, and hit one more milestone before 2021 arrives Fundamental analysis: A new milestone Over the last week, Bitcoin has seen tremendous price growth, most of it taking place during the weekend, right after Christmas.

2020-12-29 10:29


Фото:

Ethereum Overtakes $700 for First Time Since 2018

Although Bitcoin has already broken its previous all-time high, Ethereum still has a bit more to go. In 2020, Ethereum has grown by 585% compared to Bitcoin’s 370% growth. Ethereum may not be getting as much attention as Bitcoin lately, but reclaiming a $700 price level and an $80 billion market cap gas gotten many … Continued The post Ethereum Overtakes $700 for First Time Since 2018 appeared first on BeInCrypto.

2020-12-28 14:28


Buy Bitcoin Ads Pop Up in the UK, Australia, and Other Parts of the World

“… it’s time to buy Bitcoin,” is what one of the many adverts posted in different cities of different countries says. As Bitcoin rallies strongly towards the end of 2020, up 78% in Q4 and 166% YTD, and everyone from retail, institutional investors, high net worth individuals, insurance companies, and family offices take a liking […] The post Buy Bitcoin Ads Pop Up in the UK, Australia, and Other Parts of the World first appeared on BitcoinExchangeGuide.

2020-12-14 21:17


дальше еще 77 новостей →

Партнеры Currencies.ru

Аналог Notcoin - Blum - Играй и зарабатывай Монеты



Реклама на Currencies.ru

Самое свежее на Currencies.ru

Bitcoin Price Takes a Sharp Dip: Is This Just a Correction?

Bitcoin price is correcting gains from the $73,500 zone. BTC is back below the $70,000 level and showing a few bearish signs. Bitcoin started a fresh decline from the $73,500 zone. The price is trading below $71,500 and the 100 hourly Simple moving average.

Bitcoin Price Nears All-Time High: Can It Push Past the Mark?

Bitcoin price is rallying above the $72,000 zone. BTC is up over 5% and it could soon aim for a new all-time high above $73,500. Bitcoin started a fresh increase above the $70,000 zone. The price is trading above $70,500 and the 100 hourly Simple moving average.

Bitcoin Price Rallies Above $70K: Is a New High Within Reach?

Bitcoin price is rallying above the $70,000 zone. BTC is up over 5% and it could soon aim for a move above the $72,000 resistance zone. Bitcoin started a fresh increase above the $68,000 zone. The price is trading above $70,000 and the 100 hourly Simple moving average.

Bitcoin Price Targets Gradual Rise: Will the Uptrend Hold?

Bitcoin price is attempting a fresh increase above the $67,000 zone. BTC could gain pace if it clears the $68,750 resistance zone. Bitcoin started a fresh increase from the $65,500 zone. The price is trading above $67,200 and the 100 hourly Simple moving average.

Bitcoin Price Eyes Further Gains: Can It Keep Climbing?

Bitcoin price is attempting a fresh increase above the $37,000 zone. BTC could gain pace if it clears the $68,800 resistance zone. Bitcoin started a fresh increase from the $65,200 zone. The price is trading above $67,500 and the 100 hourly Simple moving average.