Mr Trader Amateur - cI4BC

How a market looks when it stabilizes and cools down (Down Rules - Supply and Demand)

This is an example of the laws of supply and demand applied to what we have seen in Bitcoin in recent weeks.

In the first photo, we see how in the order book, the supply volume during the past week exceeded hundreds of millions, which pulled the price down.

Today, however, we see that despite the price recovery, the orders do not even exceed the thousands.

Sometimes to understand where the market is heading, we have to analyze the information from the order book. This is another tool we have at our disposal. $BTC #BTCVolatility

I am an amateur, and during these days of bearish trends I have heard a lot about the term
“Death Cross.” But what does it mean, why is it important, and should we be concerned?

The death cross is a bearish technical signal that occurs when a short-term moving average crosses below a long-term moving average.

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✅ Definition

In cryptocurrencies, death cross usually refers to:
• The 50-day moving average (MA50)
crossing below
• The 200-day moving average (MA200)

This crossover indicates that the short-term momentum has weakened enough to fall below the long-term trend.

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📉 What it means in Bitcoin

1. Bearish signal or potential prolonged correction

Historically, when a death cross appears in Bitcoin, the price tends to experience:
• Additional declines
• Prolonged sideways movements
• Continuation of an already existing bearish trend

2. Indicates weakness in the trend

It is not an indicator of “start of decline,” but rather a delayed confirmation that the trend has been weakening for weeks.

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📊 Does it really work in Bitcoin?

In Bitcoin:
• The death cross does not always predict strong declines.
• Sometimes it arrives late, when the market has already fallen significantly.
• On some occasions, it even precedes a rebound (false negative).

Conclusion: it is useful for understanding the trend, but it should not be used alone.

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🧭 How should you interpret it if you trade BTC?

A death cross may mean:
• Avoid opening aggressive longs.
• Prefer short trades or defensive strategies.
• Wait for additional confirmations (RSI, volumes, supports).
• If you are a long-term holder: it simply implies that you might go through a phase of weak pricing.
$BTC

FUTURES IS NOT FOR INEXPERIENCED. Study first before embarking on that mission.

I am a beginner, I have less than 6 months of experience and only a month ago I dared to enter the futures market. Although profit can be generated, the potential for losses if one plays solely by instinct is high.

What have been my beginner mistakes:

1. Misusing leverage: it increases the amount of money, but it also raises the probability of liquidation. It is better to go slow. Little capital with low leverage, at least while learning to identify the best entry and exit points.

2. Choosing currencies with very high volatility. New listings change very quickly, coupled with the lack of historical data, making it harder to identify patterns for beginners.

3. Not knowing how to read the market and its cycles. It is very important to learn technical analysis and have a clear strategy. Without that, futures contracts are bets in which the house always wins.

4. Opening positions out of revenge. If capital is lost, it is better to grieve, analyze why it happened, learn from the mistake, take a timeout, and prepare better for the next opportunity. If reinvested without a plan, the market will turn against you.

4. Risk management must be done. Using Stop Loss, it is better to lose 5 USD than 500. Learn to take profits without excessive greed and according to a structured plan. This generates growth.

5. Do not panic. Always think with a cool head, analyzing the past of the currency. Without that, it is more likely that decisions will be impulsive and lead to losses.

I believe that as in any other business, knowledge is vital. There are many resources on YouTube, specialized channels, even Binance has courses to teach the basics, but one must be diligent and learn.

$BTC #FutureTrading #amateur #fear&greed