This Bearish Indicator Could Signal Start of Major Bitcoin Price Downturn

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Josh Olszewicz, a well-known cryptocurrency trader, has noticed a Tenkan/Kijun crossover on Bitcoin’s daily chart. This bearish signal might mark the beginning of a downtrend.

Expert here: Joshua Olszewicz, a recognized crypto trader, has identified the Tenkan and Kijun lines intersecting on Bitcoin‘s daily chart. This bearish crossover might be an early sign of an upcoming downtrend.

As a technical analyst, I examine price charts to identify trends and patterns. To determine the Tenkan Sen line, I look back over the past nine periods and find the average of the highest high and the lowest low. In an uptrend, this line can function as a support level, potentially attracting buyers as the price approaches it. Conversely, during a downtrend, the Tenkan Sen line may act as resistance, hindering further price decrease.

“The Kijun Sen, or base line, is determined by averaging the sum of the highest high and the lowest low over the previous 27 periods. This average serves as a potential medium-term support level.”

As a researcher studying market trends, I’ve discovered that the intersection of the two lines mentioned can offer valuable insights for traders regarding the present market situation. Specifically, when the Tenkan Sen line drops below the Kijun Sen line, this occurrence is typically perceived as a bearish sign. This indicates that the market is experiencing downward pressure.

The crossover of the signals below the Ichimoku cloud may not mark the end of the bullish trend. Instead, it could indicate that the trend may continue but with some potential resistance or correction along the way.

At present, Bitcoin is priced at $63,645 based on information from CoinGecko. Contrastingly, Ethereum has shown remarkable growth, increasing by approximately 6% within the last 24 hours as per U.Today’s reports.

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2024-04-28 14:09