[2018-03-28] Why Bitcoin's 'Death Cross' May Become a Bear Trap

[sensimilia]

Bitcoin risks entering a technical "death cross" soon, but the bearish signal will likely not be as severe as has been made out in reports.

A death cross occurs when the 50-day moving average (MA) cuts the 200-day MA from above (bearish crossover), indicating a long-term bear market going forward. As seen on the bitcoin daily chart below, the 50-day MA looks set to dip below the 200-day MA imminently.



https://www.coindesk.com/why-bitcoins-death-cross-may-become-a-bear-trap/

[aso118]

Bitcoin risks entering a technical "death cross" soon, but the bearish signal will likely not be as severe as has been made out in reports.

A death cross occurs when the 50-day moving average (MA) cuts the 200-day MA from above (bearish crossover), indicating a long-term bear market going forward. As seen on the bitcoin daily chart below, the 50-day MA looks set to dip below the 200-day MA imminently.



https://www.coindesk.com/why-bitcoins-death-cross-may-become-a-bear-trap/

A death cross has been imminent for more than a couple of months now. Technical analysis is not a science. If it were, enough people would have taken bearish positions in advance. In cryptocurrencies, we really don’t have enough data to see if technical analysis turns out to be a good predictor even in some situations.

[Lampaster]

Bitcoin risks entering a technical "death cross" soon, but the bearish signal will likely not be as severe as has been made out in reports.

A death cross occurs when the 50-day moving average (MA) cuts the 200-day MA from above (bearish crossover), indicating a long-term bear market going forward. As seen on the bitcoin daily chart below, the 50-day MA looks set to dip below the 200-day MA imminently.



https://www.coindesk.com/why-bitcoins-death-cross-may-become-a-bear-trap/

Very good joke! I recommend you not to distribute fud. Ask the author of this article how much he paid for writing this nonsense. Bitcoin has many enemies, but it always showed its vitality. Bitcoin is a Phoenix bird. He's always ready to recover. If you believe that fuds then I recommend that you sell your coins and leave the forum.

[Xavofat]

I recommend you not to distribute fud. Ask the author of this article how much he paid for writing this nonsense.

Clearly you can't read, because the article was suggesting that the price movement was a "bear trap", which implies that they think the price will rise.

Regardless, reporting that there is a technical "death cross" in which the 50 day moving average crosses the 200 day moving average is objective.  While there can be biases in story selection and the choice of which technical signals to look at, the information itself is true.

FUD is a disinformation strategy, and since there is no disinformation, it isn't FUD.

[bbc.reporter]

@Xavofat. The bear trap speculation is nothing more than an educated guess based on bitcoin's patterns. In any case, it appears that the author himself is in denial or that he is playing with us because he knows some of us are still in denial.

The article is not FUD, but its purpose may have been to convey more confusion.

[Kemarit]

@Xavofat. The bear trap speculation is nothing more than an educated guess based on bitcoin's patterns. In any case, it appears that the author himself is in denial or that he is playing with us because he knows some of us are still in denial.

The article is not FUD, but its purpose may have been to convey more confusion.

100% agree, its not really FUD, but for those who are new into crypto investments, this technical terms are somewhat confusing and they might take it wrongly as a signal to dump their coins. However, we have seen this kind of movement just last a week ago, bitcoin plummets to $7500 but actually regain its track above $8000. So technically, it might be "death cross", but the question is that, can we recover? I'm fairly optimistic that we can as I have said, we have been in this situation numerous times already so there's no need to panic or even entertain the idea of offloading your coin because you simply don't understand what is going on the market right now, "death cross" or "bear trap" or whatever they call it.

[Alex077]

Undoubtedly technical analysis shows the right signals sometimes, but it happens when there is no news and this signal confirmed by other indicators. At the moment indicators contradict each other on the daily chart, and the bad news has already ended. Expecting for a good growth by the end of April.