Analysis: Bitcoin daily chart forms a "death cross", which has only occurred 10 times in history.

BlockBeats News: On April 16, Bitcoin formed a “death cross” on the daily chart on April 6 - a technical pattern where the 50-day moving average (MA) fell below the 200-day moving average. Historically, such signals have often been associated with trend reversals and long-term bearish trading periods, sometimes signaling a significant decline in the market. Bitcoin has gone through 10 such “death crosses” since its inception, and the 11th is happening. An important conclusion can be drawn from analyzing the dates and duration of these “death crosses”: every bear market contains a “death cross”, but not every “death cross” results in a bear market. This distinction is key to understanding the current market landscape. Of these, the three death crosses that occurred during the bear markets of 2014-2015, 2018, and 2022 were long and painful. They lasted between 9 and 13 months, from the date of the crossover to the bottom of the cycle, with a decline of between 55% and 68%. The remaining seven fluctuations were far less severe. These fluctuations lasted anywhere from 1.5 months to 3.5 months, with Bitcoin’s decline ranging from 27% to none at all. In many cases, these signals mark a local bottom, followed by a new rally. James Butterfill, head of research at CoinShares, said that, on average, the price of bitcoin is only slightly lower (-3.2%) a month after the death cross, while it usually moves higher after three months. So, “the so-called death cross, in fact, is usually a good buying opportunity.” （Cointelegraph）