By Darth001 Bitcoin maintains a long-term uptrend, with projections indicating a potential test above $120,000 by 2027. This expectation is supported by macroeconomic factors, increasing institutional adoption, and the supply scarcity caused by halvings. However, in the short term, the market remains uncertain, fluctuating between $78,000 and $90,000 without a clear breakout direction.
Death Cross: A Short-Term Warning Signal
In the coming days, Bitcoin could experience a technical event known as the Death Cross on the daily chart. This occurs when the 50-period moving average (MA50) crosses below the 200-period moving average (MA200). Historically, this crossover is considered a bearish signal, indicating that selling pressure may be dominating the market.
Death Cross History in Bitcoin
Despite its negative reputation, this crossover does not always lead to significant long-term declines. At various points in Bitcoin’s history, the Death Cross was followed by short-term corrections, but it did not alter the primary bullish trend. Some key examples include:
2018: The Death Cross preceded a 50%+ decline, bringing Bitcoin down to around $3,000.
2020: The event led to a brief drop, but Bitcoin soon resumed its uptrend, reaching $60,000.
2022: Another Death Cross occurred during a confirmed bear market, anticipating further declines below $20,000.
The current context, however, is different. Bitcoin has been in a sustained uptrend, and this crossover could simply indicate a temporary corrective phase before the long-term trend resumes.
Short-Term Support and Resistance Levels
Bitcoin is currently in a consolidation zone, fluctuating between $78,000 and $90,000. To keep the long-term bullish trend intact without a deep correction, certain levels must be watched:
Key resistance: $90,000 – a breakout above this level could signal a new all-time high and push BTC towards $100,000.
Strong support: $78,000 – losing this region could lead Bitcoin to test lower levels, such as $72,000 or even $68,000, before resuming its uptrend.
In the long term, Bitcoin remains bullish, driven by strong fundamentals and expectations of increasing global adoption. Prices could test $120,000 by 2027, following historical appreciation cycles. However, short-term uncertainty persists, with the market ranging between $78,000 and $90,000 and a potential Death Cross forming on the daily chart in the coming days.
While this crossover has historically been a warning for temporary declines, macroeconomic conditions and institutional demand continue to support Bitcoin’s long-term growth. Therefore, the best approach for investors may be to maintain a strategic, long-term perspective while closely monitoring support and resistance levels for potential short-term opportunities.