While the crypto space is exploring each and every possible way to get back on track slowly yet steadily, another possible drawback may hover very soon. Just after Bitcoin smashed its highs, it again slides down after recovering a pullback from $64K. The drag was horrific which drain almost 47% of the BTC price slashing it from around $60K to as low as $30K.
Further, the asset was trying very hard to prevent further loss by consolidating within a very narrow range, Death cross appears and slashes yet another 30%. A similar context is about to replicate in the next fortnight and hence the BTC price is feared to slash below $40K. Again, after six months of variations, yet Bitcoin is encountering a similar situation.
When Can Bitcoin Traders Expect BTC Death Cross ?
As the above chart clearly shows the asset is on the verge to encounter yet another Death Cross, somewhere around 10 January 2022. However, currently, the recovery may not be as strong as before as the volume remains below the average. This may be possibly due to the long time holders and the institutional investors holding the asset tights, remaining un-impacted by the market fluctuations.
With the Bitcoin price jumping either towards the north or south, the volume remains relatively low pointing towards drastic price change the very next moment.
For instance, if the price jumps with low volume, then it indicates sellers just keep calm until and unless buyers uplift the price to certain limits so that they could extract their profits. Same in the case of buyers, they to will not jump in until the asset reached rock-bottom levels.
However, the previous death cross was recovered within a very small time frame. Yet, the upcoming event may squeeze the Bitcoin price(BTC) to a larger extent as the platform could experience a lack of strong hands.