In the past 24 hours, the crypto market has experienced a downturn, losing over $110 billion in market value as the global crypto market cap dropped by over 4% to $2.36 trillion from $2.47 trillion. Bitcoin’s price also dipped below $64,000, hitting a low of $63,589, attributed to low trading volumes and increased uncertainty.
While some traders remain bullish on the overall market trajectory, others are worried that factors like the lack of trading volumes and rising uncertainty are prompting caution in the short term, especially after the recent Bitcoin halving.
Bitcoin post-halving is facing massive fluctuations. After reaching a new all-time high of $73,000 in March, Bitcoin faced many corrections, including a drop below $60,000 during war and geopolitical tensions. Despite some relief and periods of volatile trading, Bitcoin is once again in the red, prompting fears of a further pullback.
Analyst Death Cross Warnings
Analyst Ali Martinez highlighted two significant sell signals for Bitcoin: a death cross between the 50 and 100 SMA and a red 9 candlestick from the TD Sequential.
Technical indicators are signaling potential trouble for Bitcoin. The TD Sequential tool, which predicts trend changes based on past performance, recently flashed a sell signal on the 12-hour chart.
Additionally, a death cross pattern, where the short-term moving average falls below the long-term moving average, has appeared on the same chart.
Martinez’s analysis suggests that if Bitcoin falls below $63,300, it could drop to $61,000 or even $59,000, raising concerns about breaching the $60,000 mark.
Plus, Kaiko, an on-chain analytical firm, attributed Bitcoin’s 6% drop in April to geopolitical turmoil, noting that while traditional safe-haven assets like gold and the US Dollar rallied, Bitcoin failed to capitalize on market turbulence, prompting concerns about its resilience amid global uncertainty.
Market Mood: Bullish or Bearish?
Despite its strong performance earlier in the year, Bitcoin has faced challenges recently. While it remains up 52.22% year-to-date, it has experienced a decline of 10.17% in the last 30 days. However, it managed a 3.57% climb on the weekly chart.
At the time of writing, Bitcoin is trading at $63,827, reflecting a 3.77% drop in the last 24 hours. Investors are closely monitoring the situation amid concerns of a potential cryptocurrency price downturn.