The cryptocurrency market has been shaken by one of the most feared signals in technical analysis: the death cross.
Analysts Andrew Parrish and Tillman Holloway assessed the dynamics behind the move.
Analyst Tillman Holloway argued that current market tensions are not just caused by technical data. Holloway said that US political developments regarding Greenland and the associated threat of tariffs are creating significant uncertainty in the market, causing selling pressure on Bitcoin.
Holloway also noted the upward trend in the silver market, saying that truly rare assets will eventually appreciate in value, and argued that “physical ownership” (self-custody) is more important than ever for Bitcoin investors during this time.
Commenting on the market expectations of $58,000, Andrew Parrish emphasized that Bitcoin no longer behaves in the same cycles as in the past. Parrish argued that Bitcoin underwent a structural change with the approval of spot ETFs and the dominance of institutional futures in the market.
Parrish noted that the large 80% or 90% crashes seen in the past are unlikely to occur in this new institutional order. The analyst said the institutional demand generated by giants like BlackRock acts as a strong cushion under prices.
According to the analysis of news reports, technical indicators point to a 200-day moving average (200MA) at the $58,000 level, but both analysts agree that much talk about this level could be a “bear trap.”
In particular, Andrew Parrish argues that this climate of fear created in the market could be used to weed out weak investors and allow institutional investors to jump in before prices fall to this level.
*This is not investment advice.
