Bitcoin (BTC) briefly fell to $93,000 over the weekend, showcasing a shaky market with minimal recovery to alleviate concerns.

As traders seek optimism, new data indicates that the current downturn signals authentic bearish sentiment.

EMA50 Breakdown

Crypto analyst Doctor Profit, in a recent tweet, noted that Bitcoin has entered a genuinely bearish phase after dipping below the weekly EMA50, regarded as the “golden line”, a crucial metric for identifying bull or bear trends in BTC’s market. He elaborated that throughout the entirety of 2024, Bitcoin persistently closed weekly candles above this level, bouncing back every time it hit it. Because the EMA50 had reliably supported the price for an extended period, it was pivotal in reinforcing the bull market stance. However, with Bitcoin’s current drop below this line, a bearish outlook is confirmed.

Many optimistic traders perceive the death cross as a hopeful sign, referencing previous instances in September 2023, August 2024, and April 2025, which were followed by substantial price rallies of 25% to 60%. Notably, in all three earlier examples, Bitcoin maintained trading significantly above the EMA50 when these death crosses occurred. For instance, in April 2025, BTC stood 12% above the golden line, and in August 2024, it was 17% higher.

Conversely, the current scenario contrasts sharply; the death cross materialized while Bitcoin was trading 6% below the EMA50, indicating that this key metric failed to provide needed support. Consequently, the analyst describes this situation as a “true death cross”.

Doctor Profit further challenged the notion that extreme market fear correlates with a price bottom, citing the 2021 incident when the Fear and Greed Index hit alarming levels as Bitcoin plummeted from $68,000 to the $50,000 arena, and ultimately towards the $16,000-$18,000 range.

You may also like:

• Bitcoin Crashes Below $92K, Ethereum Under $3K—Liquidations Surge to $800M
• Analyst Says $1.1T Wipeout Signals New Era for Crypto Markets
• OTC Desks Hit Highest BTC Balances Since August – What It Means for Bitcoin’s Price

The current environment is deemed more perilous than past corrections. In previous phases of 2024 and 2025, while ETFs were offloading, whales were accumulating, which maintained market equilibrium. Presently, both are exhibiting negative volume, intensifying the bearish sentiment. Moreover, average Bitcoin purchasers from the past six months recorded an entry price around $94,600. A descent towards or beneath this threshold could provoke further selling pressure, given that short-term traders often exit at break-even or minimal loss.

Structural and Mechanical Downturn

Additionally, an analysis from the Kobeissi Letter highlights deeper underlying changes contributing to Bitcoin’s declines. The report indicated that Bitcoin’s 25% downturn since October is distinctively identified as a “structural and mechanical” bear phase, influenced by institutional outflows commencing in late October.

Crypto funds recorded a staggering $1.2 billion in net outflows in early November, as high leverage throughout the market turned routine volatility into dramatic price fluctuations. Consequently, with numerous trading days registering liquidations exceeding $1 billion and investor sentiment plummeting to its lowest since February, it’s suggested that heightened leverage is aggravating the decline rather than genuine economic fundamentals.