Aave, on the other hand, moves horizontally, waiting for stronger clues. What will happen after the upcoming death cross on the Bitcoin chart is eagerly awaited. It is thought that this could lead to a steeper bear market.
Bitcoin (BTC) price analysis
Bitcoin’s daily chart has given some disturbing signs for its medium-term trajectory. Initially, BTC maintained its channel between $39,000 and $33,500 and the market looked fairly balanced between buyers and sellers. But this state of balance may soon be disrupted by a wave of bearish sentiments. BTC’s 50-SMA (yellow) has closed 200-SMA (green) and a death cross looks imminent in the coming days. The last death cross occurred in March 2020, when BTC dropped as low as $3,850 and took about a month to rise above $10,000. If the same happens this time, we could face a long bear market.
Although the RSI has managed to bounce back from the oversold zone, it still remains in the bearish zone below 40. On the Awesome Oscillator, the bullish momentum is increasing but still below the half-line. More bearish pressure would likely erode that momentum.
Aave (AAVE) price analysis
Aave has changed little in the last 24 hours but has managed to make small gains of 2%. The bulls defended the $350 support and a 17% retracement to $282 was avoided. ADX showing 11 showed no strong trend and consolidation looks likely on AAVE’s current channel. Once ADX rebounds, a collapse could take AAVE as low as $209 support. But market cues will likely be the main factor dictating this move.
MACD rising above the signal line shows that at the time of writing this news, the balance is maintained between buyers and sellers.