Bitcoin is known for its parabolic movements to the upside; BTC’s infamous rally from $1,000 to $20,000 in 2017 was a clear parabola higher, marked by rapidly-increasing highs and an eventual blow-off top, which saw BTC correct 60% within weeks after the peak.
Though, the cryptocurrency also trades parabolically to the downside. A prominent analyst recently touched on this, warning that the “downside parabolic structure” Bitcoin is currently forming suggests a stronger crash is nearing.
Bitcoin Could Crash Further, Predicts Bearish Parabolic Structure
Jacob Canfield, a CNBC-featured trader, shared the below chart on Friday morning, showing that Bitcoin is trading in an “aggressive” parabolic structure to the downside, marked by fresh lows being made faster and faster as time progresses. Accentuating the bearish nature of this, he wrote:
“This recent structure has a much more aggressive slope to it than the post-china pump bleed out, which means sellers are more aggressive.”
Canfield’s depiction of the parabola suggests that should Bitcoin fail to break above it, the asset will fall to $6,400 — the range low that has been formed over the past few months — by the second week of March, just 10 days away. For some context, BTC moving to $6,400 from the current price of $8,750 will mean the asset falls nearly 27%.
There Are Some Positive Signs
Although the parabola remains intact, there are signs the cryptocurrency may soon see some bid.
Per previous reports from NewsBTC, analyst CryptoWolf thinks Bitcoin holding the 21-week exponential moving average (currently at $8,750)— a popular moving average used by analysts to determine an asset’s directionality — will imply the “start of a new parabolic advance.”
Indeed, he shared the below chart, indicating that the previous bull run that took BTC from $1,000 to $20,000 was punctuated by consistent bounces off the 21-week EMA.
BTC seems somewhat poised to hold this level on a weekly basis, now trading exactly where the moving average is. CryptoWolf’s tweet implies that if Bitcoin manages to hold the aforementioned moving average, it will be cleared to experience a strong recovery in the coming weeks.
Not to mention, the crypto market’s fundamentals seemingly remain astronomically positive; just today, Jerome Powell, Chairman of the Federal Reserve, strongly suggested that the central bank may soon be cutting its policy interest rate yet again.
Top analysts, both in traditional and crypto markets, think that easy monetary policy will be a massive catalyst for Bitcoin’s growth in the future.
Featured Image from Shutterstock origin »
Key Takeaways
What’s driving Bitcoin’s continued decline below $100k?
Aggressive selling by whales, miners, and institutions has intensified downward pressure on BTC’s price.
What technical iThe post Bitcoin: Will $1.
Bitcoin snapped out of its $90,000 trap after Nvidia's earnings jump, but a top trader warns that the move fixes nothing unless BTC reclaims $94,000 and closes above $95,000 before month's end.
Key Takeaways
Why is BlackRock leading ETF outflows?
Per Hayes, hedge funds are liquidating their BTC positions as the basis trade declines.
What’s the pivot he sees for the market?
AccoThe post Bitcoin ETFs bleed $2.
Key Takeaways
What is driving Bitcoin’s recent decline?
Heavy selling from long-term and short-term holders, with LTHs offloading 350,000 BTC in 30 days.
Does Bitcoin still have rebound potentiThe post Bitcoin: STHs forced to sell 65K BTC in a day, but all's not lost appeared first on AMBCrypto.
Alt HD: Spot Bitcoin ETFs see $524 million surge - Are institutions quietly accumulating BTC again?
Key Takeaways
Which Bitcoin ETF led the inflows?
BlackRock’s iShares Bitcoin Trust (IBIT) toppeThe post Bitcoin - Why the $524M BTC rush is latest threat to ETH's rally appeared first on AMBCrypto.
Key Takeaways
Why is Bitcoin's price weak?
Major economic zones were aggressively selling Bitcoin, with the US at the forefront.
Will BTC hit $95K in November?
The odds of Bitcoin reaching $95,0The post U.
U.S. spot Bitcoin ETFs resumed inflows on Nov. 7 as institutional demand for the bellwether asset returned, after BTC bulls successfully defended the $100K support level. According to data from SoSoValue, the 12 spot Bitcoin exchange-traded funds recorded $240 million…
Bitcoin’s (BTC) April 2024 halving cut block rewards from 6. 25 to 3. 125 BTC, compressing the hash price and forcing Bitcoin miners to reconsider their business model. Instead of waiting for fee markets to rescue margins, the largest operators started signing contracts to lease infrastructure to AI tenants.
A Bitcoin OG wallet tied to Owen Gunden has sent 2,587.6 BTC ($290M) to Kraken in under 10 days
The post Bitcoin OG Whale with 10K BTC Is Dumping Aggressively as Scarcity Deepens appeared first on Coinspeaker.
South Korea’s publicly listed Bitplanet has begun its daily Bitcoin accumulation program, purchasing 93 BTC on Oct. 26 as part of a long-term plan to build a 10,000 BTC treasury. The move marks the country’s first fully regulated Bitcoin purchase…
U.K-listed Bitcoin treasury firm the Smarter Web Company has declared a recent Bitcoin purchase worth $12.1 million, raising its holdings to 2,650 BTC. On Oct. 13, the London-based company announced that it has increased its crypto holdings by 100 BTC.…
Key Takeaways
How did Bitcoin make a new all-time high?
Steady BTC demand and a wave of short liquidations spurred the leading crypto beyond $125k.
What is the next bullish target?
The immediate rThe post Bitcoin at $125K: Will BTC see another 7% rally next week? appeared first on AMBCrypto.
Key Takeaways
Why is Bitcoin unlikely to see a July-style leverage flush?
Bitcoin divergences are stacking up. BTC.D is steady at 59%, ETFs continue flowing, and LTH conviction is rising, keeping weThe post Here's why Bitcoin’s $124K retest is unlike past BTC ATHs appeared first on AMBCrypto.
Key Takeaways
How much Bitcoin did miners send to Binance in September?
Over 120,000 BTC, with daily transfers averaging 5K–7K BTC, driving liquidity pressure and price corrections.
What counteThe post Bitcoin: 120K miner exodus vs.
Bitcoin (BTC) has risen above $116,000, which shows that it is still the most important digital asset. However, many individual investors can’t afford to acquire BTC at these prices. The search for cheap alternatives is giving the DeFi space new life, and analysts are increasingly pointing to Mutuum Finance (MUTM) as a sensible HODL choice. […]
CryptoQuant CEO Ki Young Ju highlighted that the total on-chain capital inflow for Bitcoin from the past 1.5 years has surpassed that of BTC from 2009 up to 2024 by a wide margin. What’s fueling the growth? In a recent…
Key takeaways
Bitcoin is stuck in a choppy range as whales step back, and retail traders take control, while ETF flows and short-term holder behavior indicate reversal.
Bitcoin [BTC] feels stuThe post Bitcoin prices stall - But THESE signals say BTC rally isn't over! appeared first on AMBCrypto.
Key Takeaways
Bitcoin is seeing fresh whale rotation and higher cost-basis accumulation—could this mark the start of a new bullish accumulation phase?
Bitcoin's [BTC] resilience keeps showiThe post 320 Bitcoin withdrawn by fresh wallet - BTC's bullish rotation ahead? appeared first on AMBCrypto.
Strategy deployed another $217. 4 million into Bitcoin this week, acquiring 1,955 BTC as the market debated the implications of a softening labor market and the Fed’s next move. Bitcoin (BTC) climbed 1.
As predicted yesterday by traders, analysts and us at NewsBTC, it would not be long before Bitcoin broke the psychological $10k barrier. That milestone was reached a few hours ago during the Saturday morning Asian trading session.
Well, it looks like it’s officially time to regret not consolidating more when we had the chance. Bitcoin price didn’t take a break. Instead, it went a bit parabolic to nearly $7,000 or 100% gains since the December 2018 lows.
