Bearish or Bullish? Bitcoin Traders Argue Over Death Cross Outcome
On Saturday, cryptocurrency analysts and traders have been discussing bitcoin’s recent chart patterns and the infamous death cross pattern has been a topical conversation. A number of traders believe when bitcoin’s short-term moving average (MA) dips below the long-term MA, the crypto asset could be bracing for a major sell-off. Meanwhile, others are sure the death cross technical pattern means the price is due to rebound and possibly double-top to higher values than the previous all-time high.
The Return of the Infamous Death CrossOn June 19, a number of Twitter conversations, forum posts, and even headlines discussed the technical pattern called the death cross in regard to bitcoin’s (BTC) chart. Bloomberg published an article concerning the death cross on Saturday and the publication featured a few statements from billionaire investor Mark Cuban. The definition of a death cross stemming from Investopedia notes the pattern suggests “the potential for a major sell-off.” The website’s definition adds:
The death cross appears on a chart when a stock’s short-term moving average crosses below its long-term moving average. Typically, the most common moving averages used in this pattern are the 50-day and 200-day moving averages.
However, the death cross doesn’t necessarily mean a bearish market is due. Investopedia details that death cross events led to traditional stock market crashes during the past century including 1929, 1938, 1974, and 2008. Death crosses are not unusual and data from Canterbury Investment Management indicates the Dow Jones Industrial Average has experienced 84 death crosses since 1929. The popular economist and trader Alex Krüger recently discussed the situation of a death cross in relation to BTC/USD charts.
“The Death Cross takes place when the 50 day moving average crosses below the 200 day moving average,” Krüger tweeted. “The Death Cross takes place when the 50 day moving average crosses below the 200 day moving average. Journalists love writing about how a death cross could bring forth a bear market. However, one week historical returns following a bitcoin death cross are POSITIVE. Relax,” Krüger stressed.
Picture via Alex Krüger on Twitter.
The popular creator of the bitcoin stock-to-flow model, Plan B, also tweeted about the infamous death cross on Saturday. “Study this chart to see what happened [the] last two times the death cross happened, Q4 2019 and Q1 2020,” Plan B said to his 566,000 followers.
Picture via Plan B on Twitter.
However, an individual named Mohit Sorout responded to Plan B’s tweet and noted that there’s been a number of death cross occasions throughout bitcoin’s lifetime.
“There have been 6 past death crosses in bitcoin’s lifetime,” Sorout replied to Plan B. “4 have resulted in enormous downside. The two that didn’t lead to a downtrend were towards the end of a bear market, not after a full blown bull run. Choose your bias wisely,” he added.
On Saturday, cryptocurrency analysts and traders have been discussing bitcoin’s recent chart patterns and the infamous death cross pattern has been a topical conversation. A number of traders believe when bitcoin’s short-term moving average (MA) dips below the long-term MA, the crypto asset could be bracing for a major sell-off. Meanwhile, others are sure the death cross technical pattern means the price is due to rebound and possibly double-top to higher values than the previous all-time high.
The Return of the Infamous Death CrossOn June 19, a number of Twitter conversations, forum posts, and even headlines discussed the technical pattern called the death cross in regard to bitcoin’s (BTC) chart. Bloomberg published an article concerning the death cross on Saturday and the publication featured a few statements from billionaire investor Mark Cuban. The definition of a death cross stemming from Investopedia notes the pattern suggests “the potential for a major sell-off.” The website’s definition adds:
The death cross appears on a chart when a stock’s short-term moving average crosses below its long-term moving average. Typically, the most common moving averages used in this pattern are the 50-day and 200-day moving averages.
However, the death cross doesn’t necessarily mean a bearish market is due. Investopedia details that death cross events led to traditional stock market crashes during the past century including 1929, 1938, 1974, and 2008. Death crosses are not unusual and data from Canterbury Investment Management indicates the Dow Jones Industrial Average has experienced 84 death crosses since 1929. The popular economist and trader Alex Krüger recently discussed the situation of a death cross in relation to BTC/USD charts.
“The Death Cross takes place when the 50 day moving average crosses below the 200 day moving average,” Krüger tweeted. “The Death Cross takes place when the 50 day moving average crosses below the 200 day moving average. Journalists love writing about how a death cross could bring forth a bear market. However, one week historical returns following a bitcoin death cross are POSITIVE. Relax,” Krüger stressed.
Picture via Alex Krüger on Twitter.
The popular creator of the bitcoin stock-to-flow model, Plan B, also tweeted about the infamous death cross on Saturday. “Study this chart to see what happened [the] last two times the death cross happened, Q4 2019 and Q1 2020,” Plan B said to his 566,000 followers.
Picture via Plan B on Twitter.
However, an individual named Mohit Sorout responded to Plan B’s tweet and noted that there’s been a number of death cross occasions throughout bitcoin’s lifetime.
“There have been 6 past death crosses in bitcoin’s lifetime,” Sorout replied to Plan B. “4 have resulted in enormous downside. The two that didn’t lead to a downtrend were towards the end of a bear market, not after a full blown bull run. Choose your bias wisely,” he added.
Canada’s Largest Green Bitcoin Mining Firm Expands Public Trading With Nasqad Listing
One of the largest Canadian renewable energy-focused cryptocurrency mining firms BitFarms has been listed on the New York-based American stock exchange Market NASDAQ.
Cryptocurrency mining firms earn transaction fees in the native token of the specific network such as bitcoin, Ethereum, and Litecoin, for securing and processing transactions on the networks.
The firm started as a bitcoin mining farm in 2017 but has since diversified its portfolio through partnerships and established five industrial mining facilities in Quebec.
”We are proud to be a leader in the industry in setting the highest standards for ourselves and our mining operations and to be uplifting to one of the most prestigious stock exchanges in the world.”
Bitfarms to Become The Largest Green Crypto Mining CompanyBitfarms prides itself as the greenest mining company on the bitcoin network and uses 99% of its hydropower to power 1% of the network. The listing is an important achievement and a significant milestone that follows years of development and ambition, Bitfarms said.
“When Bitfarms begins trading on the Nasqad, it will be the largest publicly traded Bitcoin miner in Both America using greater than 99% hydroelectric renewable electricity.”.
After the Nasqad debut, Bitfarms slumped 8% to $3.9 on Monday during its first day of trading and other mining companies like Marathon Digital Holdings and Riot Blockchain. However, Bitfarms had been publicly trading on the Toronto Stock Exchange for two years.
The slump has been linked to the ongoing crackdown of crypto mining firms in China, which has led to major sell-offs of various cryptocurrencies, including bitcoin as well as a drop in the value of mining equipment.
Despite the price slump, Bitfarms said in Mid-June that the global redistribution of the Bitcoin hash rate has so far been benefiting the firm.
“As the hashrate of Chinese miners drops, Bitfarms has earned higher transaction fees and increased its shares of the total Bitcoin network hashrate.”
As a result of the crackdown, Bitfarms has been earning more Bitcoin using the same hashrate and costs of operations.
Bitfarms Expansion Plan with Foundry PartnershipThe listing comes two months after Bitfarms entered into a joint partnership with Foundry Digital, a subsidiary of Digital Currency Group. Foundry provides financing for mining bitcoin and other cryptocurrencies mining equipment, as well offering access to equipment manufacturers.
The partnership has facilitated the purchase of 2,465 Whatsminer M3OS Bitcoin mining machines, which have collectively increased Bitfarms operating hashrate by 133PH/s.
The Nasdaq listing also adds to the growing number of companies with cryptocurrency companies with public listings, including Coinbase and Grayscale. Other top non-crypto currency firms with exposure to crypto through partnerships, investments, or side ventures, include Microsoft, Square, Paypal, Visa, Goldman Sachs, MicroStrategy, and Mastercard.
One of the largest Canadian renewable energy-focused cryptocurrency mining firms BitFarms has been listed on the New York-based American stock exchange Market NASDAQ.
Cryptocurrency mining firms earn transaction fees in the native token of the specific network such as bitcoin, Ethereum, and Litecoin, for securing and processing transactions on the networks.
The firm started as a bitcoin mining farm in 2017 but has since diversified its portfolio through partnerships and established five industrial mining facilities in Quebec.
”We are proud to be a leader in the industry in setting the highest standards for ourselves and our mining operations and to be uplifting to one of the most prestigious stock exchanges in the world.”
Bitfarms to Become The Largest Green Crypto Mining CompanyBitfarms prides itself as the greenest mining company on the bitcoin network and uses 99% of its hydropower to power 1% of the network. The listing is an important achievement and a significant milestone that follows years of development and ambition, Bitfarms said.
“When Bitfarms begins trading on the Nasqad, it will be the largest publicly traded Bitcoin miner in Both America using greater than 99% hydroelectric renewable electricity.”.
After the Nasqad debut, Bitfarms slumped 8% to $3.9 on Monday during its first day of trading and other mining companies like Marathon Digital Holdings and Riot Blockchain. However, Bitfarms had been publicly trading on the Toronto Stock Exchange for two years.
The slump has been linked to the ongoing crackdown of crypto mining firms in China, which has led to major sell-offs of various cryptocurrencies, including bitcoin as well as a drop in the value of mining equipment.
Despite the price slump, Bitfarms said in Mid-June that the global redistribution of the Bitcoin hash rate has so far been benefiting the firm.
“As the hashrate of Chinese miners drops, Bitfarms has earned higher transaction fees and increased its shares of the total Bitcoin network hashrate.”
As a result of the crackdown, Bitfarms has been earning more Bitcoin using the same hashrate and costs of operations.
Bitfarms Expansion Plan with Foundry PartnershipThe listing comes two months after Bitfarms entered into a joint partnership with Foundry Digital, a subsidiary of Digital Currency Group. Foundry provides financing for mining bitcoin and other cryptocurrencies mining equipment, as well offering access to equipment manufacturers.
The partnership has facilitated the purchase of 2,465 Whatsminer M3OS Bitcoin mining machines, which have collectively increased Bitfarms operating hashrate by 133PH/s.
The Nasdaq listing also adds to the growing number of companies with cryptocurrency companies with public listings, including Coinbase and Grayscale. Other top non-crypto currency firms with exposure to crypto through partnerships, investments, or side ventures, include Microsoft, Square, Paypal, Visa, Goldman Sachs, MicroStrategy, and Mastercard.