Bitcoin EMA50 Breakdown Signals True Bearish Phase
The Bitcoin EMA50 breakdown saw BTC briefly slip to $93,000 and close below its weekly EMA50, known as the “golden line,” for the first time in the 2024–2025 bull cycle.
Analyst Doctor Profit labels this a “true death cross,” contrasting it with previous false signals when BTC remained above the EMA50 during past death crosses.
This Bitcoin EMA50 breakdown occurs with Bitcoin trading 6% below the EMA50, intensifying bearish pressure.
Market data show ETF redemptions and whale net outflows adding to the sell-off, while the average entry price (~$94,600) may trigger further selling if retested.
Separate research from the Kobeissi Letter identifies a structural and mechanical bear phase driven by $1.2 billion in late-October institutional outflows and excessive market leverage, evidenced by repeated liquidations exceeding $1 billion.
Combined, these factors point to a sustained bearish trend, challenging short-term traders and signaling potential deeper declines in the near term.
Bearish
Breaking below the weekly EMA50, a level that held through multiple bull-cycle death crosses, confirms a shift to genuine bearish momentum. Unlike past false death crosses—when BTC remained above the EMA50 and rebounded—today’s signal occurs with Bitcoin trading 6% below the golden line. Concurrent ETF redemptions, whale outflows, and record liquidations driven by excessive leverage mirror patterns seen in prior extended corrections, suggesting deeper declines ahead. Historical parallels, such as the 2021 sell-off following extreme fear readings, illustrate that low sentiment can coincide with sustained downturns. In both the short and long term, failing to retake the EMA50 resistance may reinforce bearish sentiment, pressuring traders to reduce positions and potentially extending the bear market phase.