Bitcoin’s death cross confirmation could mean BTC is officially in a bear market

Bitcoin has confirmed a death cross on its price chart, signaling the potential onset of a bear market as BTC prices fell to $80,000. This technical pattern, indicating a bearish trend, occurred when the 50-day simple moving average (SMA) crossed below the 200-day SMA. Historical instances of death crosses have led to significant declines in Bitcoin's price, with past drops ranging from 64% to 77%. The current selling pressure has led to realized losses exceeding $800 million, mainly driven by short-term holders. Analysts suggest that while these losses may indicate capitulation, failing to reclaim the previous cost basis could confirm a deeper bearish trend. The analysis is compounded by bearish signals from Bitcoin’s SuperTrend indicator, which has historically marked the start of bear markets. With mounting selling pressure and indicators pointing towards further declines, it remains to be seen if dip buyers will defy the downward trend.

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