Bitcoin (BTC) decreased for three days in a row, sagging below the psychologically important level of $ 95,000.
With an increase in bear mood, the price of bitcoin (BTC) can fall to $ 90,000.
Bear signals for BTC grow
The MACD indicator is preparing to form the “Cross of Death.” This technical pattern appears when the MACD line crosses the signal line from top to bottom. The “Cross of Death” usually portends a long -term decrease in the price. This enhances fears about the short -term BTC dynamics.
In addition, the financing rate enhances the bear’s forecast. This mechanism provides a balance between long and short positions in the market of unlimited futures contracts. Positive values ​​indicate the dominance of long positions and mean that the price of the contract exceeds the spare price. This means that more traders buy a coin with the calculation of sales at a higher price and are ready to pay a bonus for maintaining long positions. Meanwhile, the negative rate indicates that most traders expect a reduction in price.
Coinglass data show that from May 1, the Bitcoin financing rate was more often negative. This confirms that futures traders preferred short positions. At the time of the financing rate is -0,0002%. Accordingly, most traders are now expecting a decrease, not price restoration.
The options market also reflects the disappointing short -term prospects of bitcoin. At the time of writing, the Put/Call ratio for BTC is 1.33. This means that open-ups-rates for reducing the price-more than calls, which usually indicate bull moods. The ratio above the unit suggests that the bears are hedged from further falling or actively preparing to reduce the price in the near future.
What to wait: $ 87,000 or $ 96,000
At the time of writing, the BTC is traded at $ 94,598, and the $ 95,000 mark became the resistance level. With an increase in bear mood, bitcoin can continue to fall up to $ 92,048. If the bulls cannot protect this level, the price may fall below $ 90,000 and reach $ 87,908.
However, a pessimistic forecast may not come true if the bulls will again prevail. In this case, the BTC can rise above $ 95,000 and rush to $ 96 187.
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Source: Cryptocurrency
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