Analysts Detect ‘Death Cross’ on Bitcoin Chart

MVRV forms 'death cross', hinting at Bitcoin's momentum shift, says analyst.

The on-chain indicator MVRV has formed a “death cross”, potentially indicating a weakening of the upward momentum of the leading cryptocurrency. This was reported by CryptoQuant analyst Yonsei_dent.

According to him, there was a clear crossover of the 30-day and 365-day moving averages of the metric. The last time the indicator showed such a bearish movement was at the peak of the 2021 cycle, followed by a 77% decline—from $69,000 to $15,500 in 2022.

Analyst Ali Martinez agreed that the MVRV “death cross” signals a macro momentum shift from positive to negative.

A recent death cross in the Bitcoin $BTC MVRV Momentum indicator signals a macro momentum reversal from positive to negative. pic.twitter.com/m0FCqOMD3v

— Ali (@ali_charts) August 27, 2025

Not All Indicators Point to a Decline

Despite the bearish signal, other on-chain indicators suggest that Bitcoin’s rally is not yet overheated.

For instance, the MVRV Z-Score indicator remains significantly below levels historically associated with market tops. This metric shows the difference between the market and realized value of the asset.

“When it is high (red zone), people are sitting on huge profits and usually sell. When low (green zone), users are at a loss, and smart money buys,” explained analyst Stockmoney Lizards.

#Bitcoin MVRV Z-Score — in my opinion the most important on-chain metric — tells us the true story of where we are in the BTC cycle.

MVRV shows the difference between Bitcoin’s market cap and what people actually paid for their coins (realized cap). The Z-Score normalizes… pic.twitter.com/vpntAXyetY

— Stockmoney Lizards (@StockmoneyL) August 26, 2025

Historically, market macro peaks coincided with an MVRV Z-Score value ranging from 7 to 9. Currently, the indicator is around 2.

“We haven’t even approached the danger zone yet. People don’t have such huge unrealized profits as at previous peaks. This suggests we have room for growth,” added the expert.

40% Correction and Rise to $500,000

SkyBridge Capital founder Anthony Scaramucci predicted a potential 40% drop in Bitcoin’s price before reaching $500,000. In his view, such volatility is an integral part of the cryptocurrency market.

Despite the warning of a correction, Scaramucci remains optimistic. He expects the price of the leading cryptocurrency to reach half a million dollars within the next five to six years.

He urged investors to hold their assets and not repeat his past mistakes.

“If you have a great asset, and I consider Bitcoin to be one, hold it. I sold Apple, Amazon, Microsoft, Nvidia shares. […] The mistakes I’ve made in my career are selling great assets too early. Learn from my 37 years on Wall Street, learn from my mistakes,” stated Scaramucci.

Bitcoin Whale Continues Converting

An early Bitcoin investor sold 2,000 BTC and used the proceeds to purchase 48,942 ETH. The transactions, conducted on the spot market, totaled $215 million. Analysts at Lookonchain noted this activity.

This Bitcoin OG has sold another 2,000 $BTC($215M) and bought 48,942 $ETH ($215M) spot over the past 4 hours.

In total, he has bought 886,371 $ETH($4.07B).https://t.co/qtQdgPt2CQ pic.twitter.com/ymvyHyirFo

— Lookonchain (@lookonchain) September 1, 2025

With the latest transaction, the investor has purchased a total of 886,371 ETH worth $4.07 billion.

Demand for Ethereum remains high despite the price correction. Analyst crypto sunmoon noted this, pointing out that Bitcoin reserves on Binance remain stable.

ETH Maintains Strong Interest Despite Correction

“Divergence suggests stronger demand for Ethereum compared to Bitcoin, indicating that market participants are actively accumulating ETH even during the current price consolidation.” – By @t0_god

Link ⤵️https://t.co/JqFHkSeEAO pic.twitter.com/rcQ1jVcIum

— CryptoQuant.com (@cryptoquant_com) September 1, 2025

At the same time, Ethereum reserves show a steady downward trend.

According to the expert, the divergence indicates stronger interest in Ethereum compared to the leading cryptocurrency. Market participants are actively accumulating ETH during the price consolidation period.

Back in August, analysts at 10x Research stated that the likelihood of digital gold rising to $200,000 is “extremely low.”

Later, IG Market analyst Tony Sycamore pointed out the “dual nature” of the leading cryptocurrency.