The Bitcoin price has spent the past few days struggling to recover from its sharp breakdown below $100,000, a move that rattled traders and briefly pushed the crypto market into one of its weakest phases in many months. Bitcoin’s price action has hovered in the mid-$90,000 range since the drop, but the past 24 hours have been highlighted by a break below $90,000.
In the middle of this bearish volatility, a new technical outlook from Tony “The Bull” Severino suggests that Bitcoin’s next move may be more bullish than the recent weakness implies.
A Death Cross Forms During The Bitcoin Price Downtrend
Tony’s analysis highlights the developing death cross on the daily timeframe, where the 50-day moving average is now bending down toward the 200-day moving average. The pattern is generally viewed as bearish, but the placement of the moving averages and the slope of the short-term line show something different unfolding on Bitcoin’s chart.
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The green 50-day average has been gradually drifting lower after weeks of fading momentum, and the red 200-day average has begun flattening out from the long-term uptrend. As shown on the chart below, this death cross has formed around $110,000, and according to the analyst, Bitcoin might pump into this price level next week.
The reason a pump remains possible at this stage is tied directly to how moving averages behave. After the breakdown beneath $100,000, Bitcoin found support just below $92,000 and has since been forming a series of smaller-bodied candles that reflect the early stages of a potential reversal.
If buyers take control, a fast move toward the region between $103,000 and $110,000 becomes realistic. However, price action in the past 24 hours, which has seen Bitcoin break below $90,000, threatens this bullish outlook.
Bitcoin Price Chart. Source: @TonyTheBullCMT On X
The Path To $110,000 This Week
For Bitcoin to reach $110,000 in the coming days, the market would need to replay a pattern seen several times in past cycles: a strong relief rally just before or immediately after a death cross forms.
These rallies happen because sentiment becomes overly pessimistic at the exact moment when shorts begin to pile in, leaving the price vulnerable to a sharp upside reaction. However, for that scenario to unfold now, Bitcoin would first need to push convincingly back above $90,000 and show that momentum is shifting away from the recent sell-off.
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Interestingly, other analysts have pointed to bullish primers for Bitcoin, despite the bearish price action. One such case is the Bitcoin SSR RSI, which was highlighted by a CryptoQuant community analyst called Maartunn, that shows rising stablecoin buying power relative to Bitcoin’s market cap.
On the other hand, a bearish indicator has risen up with the SuperTrend indicator, which proposes a further 67% drop in the price of Bitcoin. At the time of writing, Bitcoin is trading at $89,760, down by 5.8% in the past 24 hours.
Featured image created with Dall.E, chart from Tradingview.com