"You all don't forget to pay attention, you'll miss it later."
Immediately after massive liquidations in the cryptocurrency market arose due to macroeconomic factors, the Bitcoin (BTC) halving event that will take place in two days has sparked a lot of speculation about the direction of its price in the near future.
There is no denying that the BTC halving event is considered the start of bullish momentum, but some analysts think this year may be slower. Therefore, here are 3 signs of a crash after the BTC halving event:
Whale & Miners movement
If the whales move BTC from centralized exchanges to other custodians, it suggests their bullish momentum may be sustained in the long run.
However, BTC flowing into the exchange may cause a sale to occur but may not apply to miners as they may protect the value of the digital asset to build mining capacity.
Reduced Trading Volume
A gradual decrease in trading volume indicates a decrease in market sentiment leading to a bearish phase, so here it can be seen that activity in the chain stops during a bearish market but net and positive inflows increase.
In 2022, the trading volume of the cryptocurrency and decentralized finance (DeFi) market has experienced a significant reduction following a downward trend dominating the narrative.
Relative Strength & Greed Index
The RSI shows buying pressure versus selling pressure and is measured from 0-100, therefore a higher RSI generally means an upward movement and when the number becomes too high, it indicates a possible reversal may occur.
