Bitcoin faces significant downward pressure as a classic “death cross” technical pattern emerges, signaling potential sustained bearish momentum. The cryptocurrency recently traded at $83,405, down over 6%, while traditional safe-haven assets like gold and silver hit record highs. Key support lies at $80,601, with a break potentially opening the door to a deeper correction toward $74,000, raising questions about Bitcoin’s role as a store of value during macroeconomic uncertainty.
Bitcoin plunged Thursday as its 50-day Exponential Moving Average crossed below the 200-day EMA, forming a death cross pattern that typically signals sustained downward pressure. The cryptocurrency was recently trading at $83,405, down 6.46% from the previous day.
Gold blasted past $5,600 per ounce and silver topped $121 this week, adding hundreds of billions in market value while Bitcoin declined. This divergence raises questions about which assets truly function as stores of value during uncertain times, as rising odds of a U.S. government shutdown and the looming threat of Japanese yen intervention have investors scrambling for crisis-tested assets. The altcoin market is bleeding even more, with Dogecoin, XRP and other coins posting severe losses.
The death cross has historically preceded major Bitcoin drawdowns, including the brutal 2022 collapse and the 2018 bear market. The 50-day EMA now sits around $88,000, acting as immediate overhead resistance that bulls have failed to reclaim.
The Average Directional Index reads 24, just below the 25 threshold that confirms a strong trend is in place. Volume has been elevated during this decline, indicating real sellers are hitting the market rather than low-liquidity chop.
If the $80,600 support fails, the $74,000 zone could be the next major target. For now, the path of least resistance is down, with bulls needing a daily close above $88,000 to suggest the tide is turning.
