Golden Cross with Death Cross! – Cryptokoin.com

BTC lay dormant at the February 6 Wall Street opening as analysis showed it playing an ‘interesting dynamic’ on Bitcoin charts. Looking at Bitcoin price action in the first half of the week, it’s all about a ‘golden cross’, a ‘death cross’ and the Federal Reserve.

‘golden cross’ for bitcoin meets ‘death cross’

cryptocoin.comAs you follow, Bitcoin saw a sudden volatility at the weekly close and left close to six-month highs above $24,000. Therefore, BTC has had market participants apprehensive as the week begins and is aiming to retest a potential retest of $20,000 or lower with growing concern. For the on-chain tracking resource Material Indicators, attention is now turned to two classic chart features: ‘golden cross’ on daily timeframes and ‘death cross’ on weekly timeframes.

Representing the interaction between the 50- and 200-day moving averages, gold and death crosses traditionally indicate upcoming bullish and bearish moves, respectively. They have such a bad reputation that when one or both events occur, automated trading tools can buy or sell as needed. Material Indicators explains:

As soon as this happens, a Golden Cross on the Bitcoin D chart could trigger some buying. Likewise, a Death Cross pending on the W chart may encourage some algotrading bots to sell.

In addition, attention was drawn to the upcoming statements of Jerome Powell, the chairman of the US Federal Reserve. On February 7, hints of inflation policy present in Powell’s remarks could easily move the markets. Keith Alan, co-founder of Material Indicators, which continues in graph intersections, describes them as an ‘interesting dynamic in development’. He says in this context:

Bitcoin is heading towards an elite Golden Cross, which is a short-term bullish on the D chart and could trigger some TA algos to buy. We’re also heading towards a longer term bearish Death Cross on the W chart.

bitcoin
BTC annotated charts with gold and death crosses / Source: Keith Alan/Twitter

Dollar strength is “bad news” for crypto

On the macro, US stocks fell slightly at the open. Also, the S&P 500 and the Nasdaq Composite Index lost 0.8% and 1.1%, respectively. Asian stock markets also ended the day lower. Meanwhile, the US Dollar Index (DXY) continued to rebound in a move that threatens to put more pressure on risky assets. As analysts begin to fear the health of the crypto rally, the Index traded above 103.6 at the time of this writing, reaching its highest level since Jan. Popular trader and analyst Roman comments:

The dollar seems to be trying to regain its annual uptrend. This is bad news for crypto and stocks as it will indicate bear market pullback/continuation. This week is very important. Recovering the trend, the SPX 4100 is losing and I’m back to macro bearish.

bitcoin
US dollar index (DXY) 1-day candlestick chart / Source: TradingView

Contact us to be instantly informed about the last minute developments. twitterin, Facebookin and InstagramFollow and Telegram And YouTube join our channel!

Risk Disclosure: The articles and articles on Kriptokoin.com do not constitute investment advice. Bitcoin and cryptocurrencies are high-risk assets, and you should do your own research and due diligence before investing in these currencies. You can lose some or all of your money by investing in Bitcoin and cryptocurrencies. Remember that your transfers and transactions are at your own risk and any losses that may occur are your responsibility. Cryptokoin.com does not recommend buying or selling any cryptocurrencies or digital assets, nor is Kriptokoin.com an investment advisor. For this reason, Kriptokoin.com and the authors of the articles on the site cannot be held responsible for your investment decisions. Readers should do their own research before taking any action regarding the company, assets or services in this article.

Disclaimer: Advertisements on Kriptokoin.com are carried out through third-party advertising channels. In addition, Kriptokoin.com also includes sponsored articles and press releases on its site. For this reason, advertising links directed from Kriptokoin.com are on the site completely independent of Kriptokoin.com’s approval, and visits and pop-ups directed by advertising links are the responsibility of the user. The advertisements on Kriptokoin.com and the pages directed by the links in the sponsored articles do not bind Kriptokoin.com in any way.

Warning: Citing the news content of Kriptokoin.com and quoting by giving a link is subject to the permission of Kriptokoin.com. No content on the site can be copied, reproduced or published on any platform without permission. Legal action will be taken against those who use the code, design, text, graphics and all other content of Kriptokoin.com in violation of intellectual property law and relevant legislation.

Show Disclaimer


source site-3