Cryptocurrency analyst and trader Ali Martinez is warning that Bitcoin (BTC) is flashing a bearish signal on the Moving Average Convergence (MACD) indicator.
Martinez tells his 152,600 followers on the social media platform X that Bitcoin has printed a death cross on the weekly MACD, an indicator used to identify changes in the momentum of price.
According to the widely followed analyst, the death cross on the MACD is “historically a warning of downside risk.” A death cross on the MACD occurs when the indicator’s faster exponential moving average crosses below the indicator’s slower exponential moving average.
Martinez also says that Bitcoin has been trading in the $112,000 to $124,000 price range, and a breakdown below the support area could see Bitcoin falling to $106,000 at first and then $100,000.
Martinez also says Santiment’s data indicates that over the past two weeks, a stash of 20,000 Bitcoin worth approximately $2.4 billion was moved to crypto exchanges, soon after the crypto king hit a new all-time high in mid-August.
The widely followed analyst further says that Bitcoin whales sold a total of 50,000 BTC worth approximately $6 billion over the last two weeks.
Citing data from analytics platform Santiment’s social volume and weighted sentiment metric, Martinez says,
“Bitcoin sentiment just hit its most negative level on social media since June!”
Bitcoin is trading at $111,191 at time of writing, down by around 10% from the all-time high reached earlier this month.
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