Bitcoin Price Action Triggers Devastatingly Accurate Sell Signal

Tony "The Bull" Severino

5 years ago

3 mins read

bitcoin price td 9 sell signal sequential

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Just two short weeks after Bitcoin price set a record for one of its largest single-day collapses in the asset’s young history, the latest sequence of price action has led to a devastatingly accurate sell signal, that’s preceded some of the asset’s most dangerous drops.

Is the first-ever cryptocurrency preparing for more carnage in the days ahead? And why is this sell signal considered so accurate?

Bitcoin Price Triggers Sell Signal on TD Sequential Indicator

Bitcoin price has been more of a rollercoaster ride than usual as of late.

The leading cryptocurrency by market cap started off the new year strong, rallying by over 50% and reclaiming highs above $10,000.

But the key level failed to incite a further FOMO-driven retail investor rally, putting the asset on the ropes and staggering. Not even weeks later, the panic over the rapidly spreading coronavirus pandemic spilled into the world of finance, causing a catastrophic selloff of all assets, including Bitcoin, gold, stocks, and more.

The dangerous collapse took Bitcoin from $7,500 to under $4,000. But not even two weeks later, the crypto asset has nearly doubled from its low and is trading just under $7,000 once again.

After going from over $10,000 to under $4,000, then back to $7,000, what exactly is next for the first-ever cryptocurrency?

According to the TD Sequential indicator, Bitcoin price has triggered a sell signal on daily timeframes and has a high probability of dropping in the days following.

TD 9 Sell Signal Triggered at $10K, Will Another Drop Follow?

Bitcoin price action has trigged a TD 9 sell signal on the TD Sequential indicator, created by financial market timing expert Thomas Demark.

Demark is the Founder and CEO of DeMark Analytics, LLC, and has designed a number of well-known technical analysis indicators, such as the Sequential, Combo, Setup, Setup Trend, Countdown, Range Expansion Index, D-Wave, TD Lines, Differential, and Camouflage.

TD Sequential has been used to accurately predict many of Bitcoin’s most famous tops and bottoms, including the December 2017 top, and 2018 bottom.

More recently, the TD 9 last triggered a sell signal in Bitcoin price on February 13, 2020. That date is the current high for the year thus far, and in the days following, Bitcoin price collapsed by over 60%. The tool also accurately predicted the end of the parabolic rally in altcoins Tezos, Chainlink, and Ethereum.

That same sell signal has just triggered again, suggesting that Bitcoin could be in for yet another catastrophic descent back toward local lows, or perhaps dropping lower to find a new bottom.

Given the tool’s accuracy, Bitcoin’s correlation to the stock market, and today’s announcement of skyrocketing unemployment claims, many external factors are supporting a coming drop.

Tony "The Bull" Severino

Tony "The Bull" Severino, CMT, is a distinguished figure in the cryptocurrency analysis sector, renowned for his in-depth technical expertise and innovative approach to market trends. As the Head of Research at NewsBTC, Tony leads a team dedicated to providing cutting-edge insights and forecasts, helping both novice and experienced traders navigate the complexities of the crypto market.
A seasoned Chartered Market Technician, Tony's prowess in identifying and capitalizing on market patterns is unmatched. His academic and professional journey in market analysis has firmly established him as a leading authority in technical trading strategies. Tony’s approach is heavily influenced by the principles of Elliott Wave Theory, a method known for its rigorous assessment of investor psychology and price movements.

Beyond his role at NewsBTC, Tony is the visionary founder of CoinChartist.io, an educational platform aimed at demystifying the nuances of cryptocurrency trading. CoinChartist.io serves as a valuable resource for traders seeking to enhance their technical analysis skills. The platform offers a range of learning tools and resources designed to empower traders with the knowledge to make informed trading decisions.

In addition to his educational initiatives, Tony is a prolific author and a dominant voice in the crypto community. He writes the CoinChartist VIP newsletter, a weekly dispatch that has become a staple among crypto enthusiasts, revered for its insightful analysis and actionable trading advice. This newsletter has consistently ranked as a best-seller on SubStack, boasting thousands of subscribers who rely on Tony’s expertise to guide their trading strategies.

Tony is also celebrated for his literary contributions to the field. He is the author of the highest-rated Crypto Trading Journal on Amazon.com, a testament to his ability to communicate complex trading concepts in an accessible manner. This journal is widely regarded as an essential tool for traders aiming to track their progress and refine their strategies.

Before his ascent in the financial analysis world, Tony honed his skills in journalism. His background in this field has endowed him with a unique ability to present intricate market dynamics in a clear and compelling manner, making his insights highly sought after by a broad audience that ranges from casual readers to professional traders.
His professional affiliations underscore his commitment to excellence and continuous learning. As a partner of Elliott Wave International and TradingView, Tony collaborates with other leading experts to enhance his knowledge and skills. His active membership in the CMT Association further aligns him with the highest standards of industry practices and ethics.

Tony’s nickname, "The Bull," aptly reflects his aggressive and optimistic outlook on the cryptocurrency markets. His forecasts often anticipate significant upturns, earning him a reputation for bullish predictions that have frequently led to lucrative outcomes for those who follow his advice.

In summary, Tony "The Bull" Severino, CMT, is more than just a technical analyst; he is a mentor, educator, and innovator whose influence in the cryptocurrency space continues to grow. His dedication to advancing the understanding of market forces and his commitment to providing high-quality, reliable analysis make him a pivotal figure in the world of cryptocurrency trading.