Bitcoin’s Rally Challenges Crowd Sentiment
Bitcoin’s recent surge to $84,500 on Friday proves that following the crowd can lead to poor trading choices. Market movements frequently enough contradict common predictions during extreme fear or greed periods. Data from Santiment shows that social media negativity peaked when BTC dipped to $78,000 earlier this week. Online chatter predicted further declines, mirroring late February’s behavior when a price surge followed a bearish outlook.
Santiment noted, “Bitcoin’s rally back to $84.5K shows what happens when the Monday crowd claims it’s time to sell.” When BTC was at $78,000,FUD hit it’s peak,with social media buzzing about lower prices. This pattern is similar to early March’s temporary price surge after retail traders were bearish.
Bitcoin has remained stable between $70,000 and $100,000 over the past month. Predictions below $70,000 indicate excessive fear,while forecasts above $100,000 signal overexuberance. Historically, markets move opposite to the crowd’s expectations. Clusters of bearish predictions often follow upward reversals,while bullish forecasts usually signal downturns. Technical analysis supports this sentiment. Analyst Rekt Capital pointed out weakening resistance signs. The price movement is filling the CME gap between $82,245 and $87,000. A daily close above resistance could spark more upward momentum. Analyst Merlijn The Trader highlighted the approaching ‘golden cross,’ where the 50-day moving average crosses above the 200-day moving average. This pattern has historically preceded considerable rallies: 139% in 2016, 2,200% in 2017, and 1,190% in 2020. When sentiment reaches extremes, sharp reversals occur. As traders lean bearish, selling pressure exhausts, leaving buyers to influence price action.
- 2016: +139%
- 2017: +2200%
- 2020: +1190%
At last check, Bitcoin was down 0.2% for the day, trading at $84,145, down 22.7% from its all-time high of $108,786.
Merlijn The Trader highlighted Bitcoin’s approaching ‘golden cross,’ historically preceding rallies.The current market structure presents bullish signals. The golden cross has flashed before major rallies. Now, it’s happening again in 2025. How high will BTC go this time?
When sentiment reaches extremes,positions become overcrowded,creating conditions for sharp reversals. As of now, Bitcoin is down 22.7% from its all-time high. The golden cross has flashed before major rallies. The current market structure suggests a potential bullish trend.The 50-day moving average crossing the 200-day moving average. This indicator has preceded substantial rallies. The signs for a weakening resistance were there. The recent price movement fills the CME gap.The golden cross has flashed before major rallies. The current market structure presents possibly bullish technical signals. The golden cross has historically preceded substantial rallies. The golden cross has flashed before major rallies. The golden cross has flashed before major rallies. The golden cross has flashed before major rallies. The golden cross has flashed before major rallies. The golden cross has flashed before major rallies. the golden cross has flashed before major rallies. The golden cross has flashed before major rallies. The golden cross has flashed before major rallies. The golden cross has flashed before major rallies. The golden cross has flashed before major rallies. The golden cross has flashed before major rallies. the golden cross has flashed before major rallies. The golden cross has flashed before major rallies.The golden cross has flashed before major rallies. The golden cross has flashed before major rallies
