Just two short weeks after Bitcoin price created a record for one of the biggest single-day crashes in the young history of the asset, the latest price action led to the destructively correct sales signal that occurred before the most dangerous declines of the asset.
Is the first cryptocurrency ready for more massacres in the coming days? And why is this sales signal considered so accurate?
Bitcoin Price Triggers Sell Signal on TD Sequential Indicator
Bitcoin price has been a rollercoaster ride more than usual lately.
The leading cryptocurrency by market value strongly started the new year, gathered over 50% and took back highs above $ 10,000.
However, the key level could not encourage a FOMO-driven retail investor rally, putting the asset on the ropes and making it surprising. Even a few weeks later, panic over the rapidly spreading coronavirus pandemic spread to the world of finance, causing all assets, including Bitcoin, gold, stocks and more, to end in disaster.
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The dangerous collapse put Bitcoin from $ 7,500 to $ 4,000. But even two weeks later, the crypto asset almost doubled from its low level and is once again trading under $ 7,000.
$ 10,000 to $ 4,000 What will happen to the first cryptocurrency, after returning to below $ 7,000?
According to the TD Sequential indicator, Bitcoin price triggered a sales signal in daily time frames and there is a high probability of a drop in the following days.
TD 9 Sales Triggered at $ 10K, Will Another Drop Follow?
The Bitcoin price movement triggered the TD 9 sales signal on the TD Markets indicator and was created by financial market scheduling expert Thomas Demark.
Demark is the Founder and CEO of DeMark Analytics, LLCand has designed a number of well-known technical analysis indicators such as Sequential, Combined, Installation, Adjustment Tendency, Countdown, Range Expansion Index, D-Wave, TD Lines, Differential and Camouflage.
TD Sequential has been used to accurately predict most of Bitcoin's top and bottom parts, including December 2017 top and 2018 bottom.
Recently, TD 9 recently triggered a sales signal at Bitcoin price on February 13, 2020. This date is the highest level of the year so far and the price of Bitcoin has dropped over 60% in the following days. The vehicle also accurately predicted the end of the parabolic rally in Altcoins Tezos, Chainlink and Ethereum.
The same sales signal has been triggered again, suggesting that Bitcoin may enter another disaster landing towards local abortion or perhaps fall to find a new bottom.
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When the accuracy of the vehicle, the correlation of Bitcoin with the stock market and today's rapidly rising unemployment claims are announced, many external factors support the coming decline.