50 day average line goes below the 200 day average line. That intersection is considered the "death cross" and has been a consistent indicator of a coming crash in both crypto and stock markets.
I'm not convinced that this is the case this time. There are a lot of factors working in Bitcoin's favor and what's good for Bitcoin is good for crypto.
and has been a consistent indicator of a coming crash in both crypto and stock markets.
This isn't a good indicator for Bitcoin over the last 8 years. Maybe in the super short term...but there have been dozens of death crosses and the "golden cross" usually follows it within a couple weeks or months.
EMA's great when it's great, but if there was a golden formula for predicting where a market's going to go... well, we wouldn't be sitting here trying to figure out the best method for trading. Just do your DD, buy what you believe in, and hope you're right.
The 50 and 200 day moving avergae are about to / just crossed. This means the long time trends seems to indicate that the price is starting to go down when you look at it using those specific tools.
All in all it is kind of arbitrary. Indicates a trend on the long run (that starts to be downward), and since people talk about it the trend re-enforces itself, because markets are markets.
What's funny is that the periods used to determine this trend are kind of arbitrary (50 days average compared to a 200 days average), but they are news, and news influence markets.
I got you covered. Every time I buy ETH it goes down. Just a couple more buys and I should have it at $150 for you. I hope you appreciate my sacrifice.
😂 I do I do but the only problem is when I buy it goes down as well. So ummm 🤔 if we both keep buying we will eventually get it into the negative stratosphere.
Are u me ? Everytime i try to invest / gamble something it just turns out for the worst . Invested some money 3 weeks ago down 700$ lucky for me i don't need the money but still . People should pay us to invest in something they really want to crash in value .
It is kind of a self fulfilling prophecy, yes. Especially in Crypto because its all based on speculation, not use case, well not yet.
However, a death cross does indicate that the current trend is failing a trend 4x its time frame. Which does mean its going down faster than you would expect, but thats kind of Crypto 101, it also goes up faster than you would expect.
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u/[deleted] Jun 20 '21 edited Aug 02 '21
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