Notice that
the bearish crossovers in 2001 and 2008 that were followed by bear markets did not look back once the crossovers occurred.
Figure 4 shows
a bearish crossover in May, signaling to get out of any long positions acquired during the uptrend.
Not exact matches
During choppy or sideways market conditions a
bearish crossover is less meaningful, since there is no trend
in either direction present.
In a downside
crossover, a
bearish trend is expected, and this creates an opportunity for PUT options.
If a downward
crossover materializes,
bearish momentum could kick
in and lead to a break below the channel support at $ 7000.
Bitcoin's close (as per UTC) below the 50 - day MA yesterday, and the
bearish 5 - day MA and 10 - day MA
crossover, add credence to the
bearish set up discussed yesterday and has boosted the odds of a further decline
in prices.