Bitcoin's Bearish Indicators Spark Debate Among Analysts

Generated by AI AgentCoin World
Sunday, Apr 13, 2025 12:36 am ET1min read
BTC
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Technical expert Tony Severino has issued a warning that the Bitcoin/VIX ratio is not as bullish as some market participants might believe. Severino's analysis suggests that current indicators point to a bear market for the flagship cryptocurrency. He noted that while the month is not yet over, these indicators could still shift to become more bullish.

Severino previously highlighted several reasons for his bearish stance on Bitcoin and other crypto assets. He referenced BTC’s chart, which, according to the Elliott Wave theory and other technical indicators, suggests that the flagship crypto has likely reached its peak in this market cycle.

Despite Severino’s caution, other crypto analysts like Saeed offer a more optimistic outlook for Bitcoin. Saeed views the current correction as a healthy retracement, asserting that the broader trend for Bitcoin remains bullish. He identified $85,000 as a key level that Bitcoin needs to surpass to achieve new highs.

The macroeconomic environment also appears favorable for Bitcoin. Recent inflation data, including the Consumer Price Index (CPI) and Producer Price Index (PPI), came in lower than expected, fueling hopes for an imminent Federal Reserve rate cut. Additionally, Boston Fed President Susan Collins has assured that the US central bank is prepared to stabilize the market if necessary.

With the persistence of tariffs imposed by US President Donald Trump, the US Fed may need to intervene soon, which could be bullish for Bitcoin and other crypto assets as more liquidity flows into them.

In a recent post, crypto analyst Titan of Crypto revealed that Bitcoin is forming an inverse Head-and-Shoulders pattern, which, if it plays out, could push the flagship crypto to $125,000 this year, setting a new all-time high.

Meanwhile, crypto analyst Rekt Capital noted that Bitcoin is developing another Higher Low on the Relative Strength Index (RSI) while forming Lower Lows on the price. Throughout the cycle, BTC has formed bullish divergences like this on several occasions, each of which has preceded reversals to the upside, suggesting that BTC could rally again soon.