Analysts Now Wary of Return to Bear

Since topping at $10,500 last week, Bitcoin (BTC) has been in a relative state of calm, trading within a tight range between $9,000 and $9,500. Despite this consolidation above the 200-day moving average, which many analysts would call more bullish than bearish, some fear that the crypto market’s charts are flashing warning signs. They claim that a decline from here is likely.

Related Reading: Bullish for Bitcoin? Analyst Warns of Growing Motives for Global De-Dollarisation

Bitcoin Flashes Warning Signs 

An analyst going by James recently drew attention to an array of reasons why it may be logical to be bearish on Bitcoin. He noted that BTC’s three-day Relative Strength Index remains in “bear market” territory, while the recent move higher was a textbook signal for a trend continuation. He added that there also exists two hidden bearish divergences on the one-day chart, implying a further breakdown.

Dave the Wave has corroborated this sentiment. He noted that the Histogram has begun to contract on the daily, while the one-day Moving Average Convergence Divergence (MACD) has started to roll over. This implies that the medium-term trend is “down.”  

Related Reading: Ethereum May Be Gearing Up for Bullish Movement as On-Chain Volume Declines

Bull Case Slowly Building

While Bitcoin may soon be susceptible to a short-term drop, one that may bring it back to the $7,000 range, the case for a long-term bullish trend is starting to be realized yet again.

As reported by this very outlet previously, popular analyst Filb Filb noted that by the end of November or start of December, the 50-week and 100-week moving averages will see a “golden cross,” which he…

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