The post Bitcoin (BTC) Trading Below $57K Sparks Concerns Amid Death Cross Formation and Selling Pressure appeared on BitcoinEthereumNews.com.

Bitcoin (BTC) is trading below $57,000, which is raising concerns about potential declines in altcoins. The cryptocurrency has repeatedly struggled to breach the $61,660 SMA50 resistance, causing ongoing anxiety among investors. As Asian markets prepare to open, expected volatility could lead risk-averse investors to offload their holdings. Will Bitcoin’s struggle to surpass resistance levels signal a broader market downturn? Find out the key details and expert insights right here. Current Struggles of Bitcoin Bitcoin’s primary challenge lies in a noticeable decrease in demand. According to data from Glassnode, the cumulative volume balance (CVD) shows a marked net selling pressure, corroborated by a negative adjusted spot CVD (30-day SMA). Analysts observe, “The recent inability to overcome the $70,000 threshold can largely be ascribed to weak spot demand, as evidenced by the negative adj-CVD. There’s an evident trend toward selling pressure in spot markets, which continues to persist.” Analyzing the Death Cross The 50-day moving average, a crucial support level, has faltered once more amid ongoing fears of a global recession and economic concerns from Japan. Notable crypto analyst Mags has highlighted the formation of a death cross, occurring when the 50 MA dips below the 200 MA, signaling short-term market fragility. The collapse of FTX has triggered the second death cross since September 2023. Mags suggests that reclaiming the moving averages could prompt a reversal similar to past patterns, potentially leading to increased volatility and positive price movements. Whale Activity and Market Liquidity Material Indicators’ data points to whale block liquidity demand, particularly with the recent decline below the 50-day SMA. While whales continue to make purchases, the demand for liquidity hinders upward cash inflows, thereby weakening the market. Experts highlight that for BTC bulls to regain momentum and push past $65,000, it’s crucial to increase bid liquidity above $58,000 to…

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Filed under: News - @ August 15, 2024 11:27 pm