Latest market commentary has emphasized the resemblance between Bitcoin’s (BTC) present chart formation and the 2017–2018 bear market cycle. After its peak in December 2017 at nearly $20,000, BTC decreased by almost 67% over the succeeding months.
The extended downtrend gradually led to an important technical event in November 2018: a 3-day chart “death cross,” where the 50-period simple moving average (SMA) crossed below the 200-period SMA.
After the death cross emerged in November 2018, BTC went through a further sharp reduction of roughly 50%, exhibiting what many analysts identified as the final capitulation phase of that cycle. Price dipped from around the $6,000 range to near $3,000 before forming a long-term bottom in late 2018.
Also Read: Bitcoin’s (BTC) Brutal 50% Crash Sparks Bold Revival Bet
Bitcoin’s 3-Day Chart Structure in Focus
According to CoinMarketCap, at the time of writing, the coin is trading at $67,332.99 with a 0.88% decrease in rate. The daily trading volume of the coin is around $52.38 billion, and the market cap of the token has exceeded $52.1 billion.
Present chart comparisons are based on the 3-day timeframe, where longer-term moving averages are used to analyze larger trend management. In the 2018 case, the 50 SMA trending below the 200 SMA reflected a stable bearish rally. The following breakdown of horizontal support levels increased the decline.
Analysts monitoring present conditions are observing whether a similar moving average crossover could emerge. The 3-day timeframe is considered significant because it filters out short-term volatility and highlights structural shifts in trend direction.
Market Context and Technical Signals
Bitcoin has conventionally gone through cyclical drawdowns after the parabolic advances. Earlier bear market decreases have ranged between 70% and 80% from peak to trough. These criteria are mostly mentioned when analyzing downside risk during corrective phases.
Moving average crossovers are lagging indicators, meaning they confirm trend shifts after important price action has already occurred. In 2018, the death cross materialized after BTC had already decreased considerably from its all-time high.
Traders and investors presently tracking these signals are also assessing support zones, trading volume, and larger macroeconomic developments. Technical setups alone do not confirm price direction but are used in conjunction with other indicators.