Bitcoin News Today: Bitcoin's Death Cross Signals a Growing Battle Between Bulls and Bears

Bitcoin’s price action has ignited concerns among traders and analysts as technical indicators and sentiment signals point toward a potential pullback. The recent formation of a "death cross" on the Moving Average Convergence Divergence (MACD) has triggered bearish speculation, with some analysts warning of a possible drop toward the $100,000 support level. According to cryptocurrency analyst Ali Martinez, the death cross—a technical signal where the short-term line on a chart falls below the long-term line—has historically preceded sharp corrections in Bitcoin’s price. This pattern emerged as the 50-day simple moving average (SMA) dipped below the 200-day SMA, reinforcing the bearish narrative. The death cross is widely considered a bearish indicator, and its appearance in the Bitcoin context has drawn significant attention from market participants. Bitcoin’s price currently trades at $110,526, reflecting a modest 0.14% increase over the past 24 hours but a 1.55% decline on a seven-day basis. While the 14-day relative strength index (RSI) remains at 42.71—just below the neutral 50 level—this suggests mild bearish momentum without entering oversold territory. The price is also trading below its 50-day SMA of $116,564 but above the 200-day SMA of $95,245, indicating a weakening in short-term momentum despite the long-term trend remaining bullish. Additionally, social sentiment analysis provides further caution. Data from Santiment shows a sharp decline in Bitcoin-related discussions on social media, reaching their lowest level since June. This shift in online sentiment, often linked to heightened volatility and selling pressure, could compound the technical challenges facing the market. On-chain metrics also highlight growing unease. The 200-day SMA at $95,245 is now a critical support level to watch, with some analysts, such as Axel Adler Jr., identifying additional support at $92,000–$93,000, reflecting the cost basis of short-term investors holding coins for 3 to 6 months. A breakdown below these levels could trigger a deeper correction. Institutional and whale activity adds another layer of complexity. A recent $437 million swap of Bitcoin to Ethereum by a large holder signals a shift in preference toward Ethereum’s smart contract and DeFi ecosystem. This move may reflect a broader trend of capital reallocation in the crypto market, potentially affecting Bitcoin’s dominance. However, Bitcoin’s fundamental properties, including its capped supply and digital scarcity, continue to support its role as a store of value. Despite these bearish signals, some analysts remain cautious about declaring a market top. Merlijn The Trader notes that none of the 30 widely followed peak indicators for Bitcoin have turned red, suggesting that the current pullback may be a corrective phase rather than a trend reversal. Historical patterns, such as the 2008 global financial crisis and the 2020 market sell-off, have demonstrated the predictive power of death crosses, but they have also been followed by subsequent bull runs. For now, investors are closely monitoring Bitcoin’s ability to retest and reclaim key moving averages, with the 20-week EMA near $108,000 seen as a critical psychological level. A rebound from this level could position Bitcoin to challenge its previous all-time high of $125,500, while a breakdown would open the door for further declines toward the 50-week EMA at $95,300. The coming weeks will be crucial in determining whether Bitcoin can stabilize and resume its upward trajectory or if the current bearish momentum will lead to a deeper correction. Market participants are also watching for signs of a short squeeze around $114,000, where a significant wall of short liquidations is expected to trigger a potential rebound. In conclusion, while the technical and sentiment signals are flashing caution, the broader crypto ecosystem remains resilient. Institutional adoption, regulatory clarity, and innovation in decentralized finance continue to underpin long-term optimism. The immediate focus, however, is on Bitcoin’s ability to navigate the current correction and reaffirm its dominance in the market.

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[1] Bitcoin drop to $100000 likely imminent as death cross ... (https://finbold.com/bitcoin-drop-to-100000-likely-imminent-as-death-cross-pops-up/)

[2] What is a Death Cross? - Complete Guide for Investors (https://www.tokenmetrics.com/blog/death-cross)

[3] Bitcoin drops under $109K: How low can BTC price go? (https://cointelegraph.com/news/bitcoin-drops-under-109k-how-low-can-btc-price-go-next)

[4] Virtual influence, real impact: Deciphering social media ... (https://www.sciencedirect.com/science/article/pii/S2096720925001022)

[5] What are the implications of recent whale activity on Bitcoin ... (https://www.onesafe.io/blog/whale-activity-bitcoin-ethereum-implications)