Bear trap incoming with bearish cross-over on Weekly time-frame?
As referenced in this article, the 50 Week MA is due to cross the 100 Week MA within a couple of weeks based on their current trajectories to form a "bearish cross-over". As stated:
A few things to note with this bearish cross-over that's looking unavoidable in approximately 2-3 weeks:
What are your thoughts about this bearish cross-over? Does it signify that Bitcoin hasn't endured it's bear market for long enough in both time & price in order for a recovery, or will we still see further downside?
Quote from: CoinDesk
While in theory the upcoming bearish cross would imply strengthening of bearish momentum, the indicator has a perfect record of trapping sellers on the wrong side of the market, similar to the negative SMA crossover confirmed on the three-day chart last month.
A few things to note with this bearish cross-over that's looking unavoidable in approximately 2-3 weeks:
- The so-called bearish cross-over has never happened with price below the 200 WMA, signalling further weakness in price than previous cross-overs
- This has only happened twice before, so could easily be considered to have co-incidentally reversed price as opposed to being an established pattern
- This analysis isn't so different than the Pi Cycle bottom indicator that additionally uses bearish MA cross-overs to confirm market bottoms (price & time)
What are your thoughts about this bearish cross-over? Does it signify that Bitcoin hasn't endured it's bear market for long enough in both time & price in order for a recovery, or will we still see further downside?