Analysis: Bitcoin Breaks Below 200-Week Moving Average, May Have Entered Deep Bear Market Phase

Odaily News Data shows Bitcoin has broken below the 200-week Exponential Moving Average (EMA), potentially entering a deep bear market phase. Nick Ruck, Director of VRG Research, stated that Bitcoin's decline occurred against a backdrop of heightened risk aversion sentiment, driven by weak signals from the US job market, including rising unemployment benefit claims, which have raised doubts about the economy's sustained strength and the Federal Reserve's potential cautious stance on aggressive interest rate cuts. Jeff Ko, Chief Analyst at CoinEx Research, pointed out that Bitcoin's over 20% correction within a week coincided with a sell-off in US tech stocks, as investors are reassessing Bitcoin's failure to act as a safe haven compared to gold. Overall, market sentiment has weakened significantly in the short term, but institutional and long-term allocation capital is still observing the impact of changes in the macro and liquidity environment on crypto assets. (Cointelegraph)