Is BTC Bull Run losing steam? Here’s what the Crypto and Nasdaq market is indicating
Market width, a key indicator used to understand the overall health of a market or an index, suggests that both the Crypto Market and Wall Street’s Tech-Heavy Index, Nasdaq, experiences short-term weakness within a long-term utoum.
The width is usually measured by comparing the number of stock advances or cryptocurrencies to the decreases. Entrepreneurs also reviewed the number of assets that trade above or below the major moves of averages-like 50-day and 200-day sma-to assess both short-term and long-term market trends. This article is specifically focused on moving averages based on width indicators.
As of writing, 63 of the top 100 cryptocurrencies by market value, including Bitcoin
exchanged above their respective 200-day simple moving average (SMA)According to Data Source TradingView.
Top 100 coins have market capitalizations of more than $ 1 billion and are less prone to price manipulation than their smaller counterparts.
At the same time, 50 coins were exchanged below their 50-day SMA.
Interestingly, Nasdaq, consisting of 100 stocks, presented a similar profile on Monday, with 61 stock trade than their 200-day SMA and 49 below their 50-day SMA.
Implications
The data suggests that long-term trend for both markets remains bullish with a clear majority of assets that trade above their 200-day SMA. The 200-day average is widely monitored as a barometer for long-term trends of both investors and institutional investors.
That said, the immediate perspective continues to deteriorate as 50% of the properties in the same market that trade below the 50-day SMA, which is a short-term indicator of the trend. A price below this average suggests a recent loss of momentum and a potential short -term downtrend.
The same market width of the two markets suggests that short -term weakness is not an isolated event, but a broad phenomenon that affects both the cryptocurrency and traditional markets. Perhaps, entrepreneurs in the same market are risking their portfolio leading to Federal Reserve Chairman Jerome Powell’s upcoming speech on the upcoming speech to Jackson Hole Symposium This week.
Read more: Crypto Eye Jackson Hole entrepreneurs as Ether, XRP, Solana’s drop in vain in shrinking
