05 September Chart Decoder Series: Average True Range – Volatility Tools to Help You Select Your Target and Get Profit

Welcome to Chart decoder seriesconvert professional trading tools into strategies you can use today.

So far, we’ve been working on:

Today we explore ATR (average true range). This is an indicator that solves one of the biggest puzzles in a transaction. What risk is there and where should the stops be placed?

What ATR really says to you

The ATR was developed by J. Welles Wilder Jr. in 1978 as part of a groundbreaking work on technical analysis. Unlike most metrics focusing on price direction, ATR measures only one thing. It’s volatility.

The ATR answers an important question: “How long does this market normally move?”

Calculation: The ATR examines the “true range” of each period. This is the largest.

1. Current high – Low current
2. |Current High – Previous Closed|
3. |Current Low – Previous Closed|

Next, move the average of these true range values ​​over the selected period (14 is the standard for Bitfinex, but you can adjust it to any time you like)

Absolute values ​​ensure that the ATR always shows a positive number, regardless of whether the gap is up or down.

Why is ATR important:

ATR is beyond context. It forms the way traders manage risk, size locations and set exits. Rather than relying solely on intestinal sensation, it provides an objective measure of market behavior that directly informs all transactional decisions.

1. Smarter stop loss

Placement of stops without an ATR is basically guesswork. The ATR indicates what is considered “normal” movement and cannot be thrown away in your daily swing.

• Scalping Stop (0.5 x ATR): Used by high frequency traders who want a quick ex with the first sign of trouble. Effective only during low volatility periods where market movements are predictable
• Standard stop (1 x ATR): Provides ample space for normal price fluctuations while maintaining reasonable risk management
• Stop position (2xATR): For traders who hold a position for several days that needs to survive the normal daily volatility cycle without a premature exit

2. Size your position appropriately

Professional risk management is the maintenance of consistent risk exposure regardless of market conditions. Instead of trading the same size in all conditions, adapt smaller positions when the volatility is high, and adapt larger positions when it’s mild.

3. Volatility breakout spots

Breakouts with expanded ATRs demonstrate institutional participation and true directional beliefs. If price breaks a critical level but the ATR remains flat, it often indicates weak follow-through and a high probability of inversion. The most powerful setup occurs when the price breaks a critical level with an ATR expansion, checking both direction and momentum.

4. Set profit targets

ATR multiple provides a reasonable framework for setting realistic profit targets and helps you move away from guessing towards consistency.

• Conservatives: 1.5 x ATR
• Standard: 2 x ATR
• Aggressive: 3xATR

Actual example: BTC/USD analysis

price: $110,500
ATR (14): 3,033

This tells us:

Bitcoin’s recent average daily exercise is about $3,033. This gives traders a clear context.

• The $3,000 move is no exception. Matches 1xATR
• Approx. 3,000 (1 x ATR) stops losses about normal breathing patio
• A profit target of $4,500-6,000 (1.5-2xATR) is realistic for swing trading
• ATR at this level shows a moderately volatile market that requires careful position sizing and risk management.

ATR + Other Indicators:

When combined with other tools, the ATR becomes even more powerful.

ATR + Bollinger Band: This move is more certain when you hit the extreme Bollinger band with a high-priced ATR. A low ATR in the band may suggest that extremes are not retained.

ATR + RSI: Excessive conditions for RSI with elevated ATR often mark important bases. High volatility shows true sales pressure, and it sells too much and makes the reading more meaningful.

ATR + MACD: MACD crossovers with an ATR expansion are more reliable than those contracted by ATR. Volatility confirms that there is a conviction for a change in momentum.

ATR + Volume + obv: Triple combination: obv points to the direction of smart marten, volume points to immediate conviction, and ATR shows how much to expect. If there is all alignment, there is a high paraability setup.

Bonus Read: ATR + RSI Behavior

price: $110,600
ATR (14): 3,033
RSI (14): 39.12 (nearly excessive)

This tells us:

• The RSI of 39 is below neutral (50), but has surpassed the 30 overselling threshold, still showing bearish momentum rather than extreme.
• ATR of 3,033 indicates an increase in daily volatility. This means that the swing is big.

For traders:

• Bearish rsi + high atr = Sales pressure is active and backed by volatility.
• If RSI approaches 30 while the ATR is high, the market is not just going down, but is being sold by force. Overselling conditions will carry more weight.
• If the RSI begins to climb while the ATR remains high, the bounce may have some strength behind it rather than simply a weak recovery.

ATR limitations to remember:

Delay indicator
The ATR is based on past price transfers. It tells us what volatility is, not necessarily what it is.

There is no direction bias
ATRs don’t tell you what direction the market will move. It’s just a typical amount of movement.

Smoothed data
Like all moving averages, ATRs can be slower to respond to sudden changes in volatility.

Market context is important
ATRs in trending markets behave differently than horizontal markets. Always consider the larger picture.

Pro tips for ATR:

1. Use multiple time frames

• Daily ATR: For swing trading and position sizing
• 4-hour ATR: For day trading setup
• 1 hour ATR: For accurate input timing

2. Economic calendar integration

ATRs often spike major news events. Plan position sizing and stop placement accordingly.

3. Weekend benefits

Crypto Markets is open 24/7, but volatility patterns often change over the weekend. Consider individual ATR calculations for weekday and weekends.

Try it with Bitfinex:

1. Log in to Bitfinex
2. Choose your main trading pair
3. Add an ATR indicator (starts with the standard 14 periods. The length can be adjusted within the ATR settings)
4. Observe how ATR changes in different market conditions
5. Practice using ATR for stop loss placement
6. Note the correlation between ATR and key price movements

Bitfinex. Original Bitcoin exchange.

]]> https://earlybirdsinvest.com/chart-decoder-series-average-true-range-volatility-tools-to-help-you-select-your-target-and-get-profit/feed/ 0 57289 https://earlybirdsinvest.com/this-is-the-average-401k-balance-for-retirees-age-60-and-older/ https://earlybirdsinvest.com/this-is-the-average-401k-balance-for-retirees-age-60-and-older/#respond Sat, 30 Aug 2025 20:58:05 +0000 https://earlybirdsinvest.com/this-is-the-average-401k-balance-for-retirees-age-60-and-older/ A 401(k) is a common type of retirement account that employers offer to their workforce.

The 401(k) account is one of the most common retirement savings accounts that employers offer their workers. Employees are able to contribute pre-tax dollars to these accounts and invest them tax-deferred. Only when withdrawals are made do the account holders pay taxes at their ordinary tax rate.

Employers have the option to offer some kind of matching contribution, usually up to a set percentage of each employee’s salary. Employer contributions are deductible up to a certain point.

With everyone making different salaries and employers having different policies for their 401(k) plans, it’s natural for workers to wonder how much they should save as they approach retirement. While there is no single right answer, available data can help you gauge where you stand.

Image source: Getty Images.

The average 401(k) balance for retirees age 60 and older

While several companies provide data on the average 401(k) balance, I like to use Fidelity when I can, given the company’s size and reputation in the space.

At the end of 2024, Fidelity looked at 401(k) data from 26,700 corporate defined contribution plans that included 24.5 million participants. The company found that the average 401(k) balance was $246,500 for ages 60 to 64, $251,400 for ages 65 to 69, and $250,000 for ages 70 and over.

Fidelity actually recommends saving much more than this amount. In prior articles, the company has suggested having eight times your annual salary by age 60 and 10 times your annual salary by age 67. With median annual earnings for a full-time U.S. worker above $50,000, Fidelity’s recommendation is far higher than the approximately $250,000 average balance for its plan participants near retirement.

But again, there’s always a difference between advice and reality. Retirees should also understand that an average number among tens of millions of people captures so many different scenarios. Ultimately, retirees should think about the lifestyle they want in retirement and work with a financial advisor or on their own to determine how much they need to support that lifestyle.

In a previous article, I showed you how to create a fully automated 50-200 moving average crossover trading strategy, without coding.

Now I’m going to show you the backtesting results of that strategy for every market that I’ve tested.

I’ll show you both the good and bad.

You have to backtest this strategy yourself to make sure that you’re comfortable with it and that it actually works with your broker.

Even if a strategy doesn’t work well, you can test ideas on how to improve it and make it much more profitable.

Now let’s move on to the trading plan and the results for each market.

Remember: This is only a starting point for YOUR trading strategies. This is for informational purposes only and the results below will not guarantee successful trading. 

As I backtest new markets, I’ll add the results to this page.

Bookmark this page and check back periodically if you want to get future updates.

The 50-200 Crossover Strategy Trading Plan

Here are the rules for this plan:

• Buy
  • Buy when the 50 SMA crosses above the 200 SMA
  • Stop Loss at last swing low
  • Risk 1% per trade
  • Take profit a 1R (1 times risk)
• Sell
  • Buy when the 50 SMA crosses below the 200 SMA
  • Stop Loss at last swing high
  • Risk 1% per trade
  • Take profit a 1R (1 times risk)

Be sure to read the full 50-200 Moving Average Crossover automated strategy tutorial to learn how I did these backtests in just a few minutes, without coding.

Backtests

EURUSD

Weekly Chart

On this timeframe, there isn’t enough data to pursue this strategy.

With only 10 trades, you simply won’t get enough trades to make this viable.

Daily Chart

This actually looks pretty good.

True…the return is very low, but the max drawdown is also low and the strategy stayed profitable throughout the entire test.

So this could be a good strategy to optimize, or trade in multiple markets, assuming that the results are favorable in those markets too.

No guarantees obviously, further testing would have to be done.

4-Hour Chart

This strategy was profitable for most of the testing period, so this could be a good timeframe to start experimenting with.

Yes, the return was breakeven.

But the graph is more promising than most of the others on this list.

It executed 209 trades, which is decent.

If this works in other markets, then the combined return could produce a significant return.

Again, backtest this for yourself.

This is only meant to be a starting point.

1-Hour Chart

The return on this strategy was breakeven, so there is potential to possibly optimize this timeframe.

On the upside, the strategy did execute quite a few trades.

30-Minute Chart

The results on this timeframe are not worth examining further, at least with this version of the strategy.

5-Minute Chart

The results are terrible on the 5-minute chart, so no further analysis is necessary.

AUDUSD

Weekly Chart

Not enough trades here to start using this timeframe.

Daily Chart

This could be tweaked because the results are breakeven. The biggest issue is that there aren’t very many trades, so I wouldn’t pursue this one.

4-Hour Chart

Another breakeven result, so it might be something worth tweaking.

1-Hour Chart

Breakeven again. Maybe it’s worth a few tweaks, but I wouldn’t spend a lot of time on it.

30-Minute Chart

Pretty terrible results, so probably not worth messing with. Move on.

5-Minute Chart

Just like with the EURUSD, the 5-minute chart is completely useless, so this is not worth exploring.

It pretty much blew out the account.

Notes and Observations About this Strategy

So far, the lower timeframes are showing much worse results.

Therefore, it might be better to stick to the daily and 4-hour charts.

Also, the stop loss on this strategy may not be ideal.

Sometimes the stop ends up being too far away and it takes awhile for price to hit the target.

More testing and optimization would have to be done.

Learn how to build and tweak this strategy and test your own ideas and you might come out with better results than me.

Conclusion

So that’s how this strategy stacks up in all of those markets.

I’ll be adding new backtests as I do them, so be sure to bookmark this page and check back periodically to see if I have any new markets.

Remember that you should always backtest a strategy for yourself. 

Never rely on the results of others, including me. 

To learn exactly how I created an automated program to do the backtests above, WITHOUT coding, read this tutorial.

Binance’s monthly Bitcoin (BTC) inflows have fallen to 5,700 BTC, less than half the 12,000 BTC average recorded since 2020 and 25% of the 24,000 BTC that hit the exchange during the FTX panic of late 2022, CryptoQuant analyst Darkfost shared in a June 24 note.

Darkfost’s data showed that every material deposit surge of the current cycle matched a local price peak. Net inflows jumped above 17,000 BTC during last August’s $69,000 correction and again surpassed 20,000 BTC in March when Bitcoin first printed six figures. 

Each spike preceded a short-term pullback, reinforcing Binance’s role as the venue where holders convert latent selling intent into market supply. 

In contrast, the latest 5,700 BTC reading arrives with Bitcoin stable above $105,000 and volatility near year-to-date lows. The figure is also roughly 30% of the 13,200 BTC that moved to Binance the week Bitcoin first crossed $100,000 in December 2024.

Darkfost argues that the contraction signals a “holding phase” in which both retail traders and larger cohorts keep coins off the exchange, removing immediate sell pressure. Traders typically send Bitcoin to exchanges when preparing to sell. Falling deposits imply fewer coins poised for near-term liquidation.

When supply on order books thins while demand persists, upside follow-through becomes easier, a pattern Glassnode also flagged in May when it reported “Binance sell-pressure cooling off” during Bitcoin’s climb to $104,000.

Context within broader exchange behavior

Binance handles the most significant spot volume among centralized venues, representing 37% of the monthly centralized exchange trading volumes on average this year, according to The Block data. 

As a result, the exchange’s deposit trend serves as a proxy for the system-wide intent to liquidate. 

The analyst chose inflows rather than outflows to filter noise from transfers tied to custodial reshuffles or exchange wallets. A rise in deposits requires an active decision to sell, whereas withdrawals may reflect storage preferences.

Darkfost smoothed the series using a monthly mean to dampen distortions from macroeconomic headlines, such as the early June flare-up between Israel and Iran. Even after that adjustment, the latest value marks the lowest inflow level observed in more than four years of data.

Darkfost cautioned that macro uncertainty and thin liquidity could still jar prices if a shock prompts new waves of deposits. He recommended tracking any jump toward or above the long-run 12,000 BTC mean as a potential warning of renewed distribution.

Mentioned in this article

This is a daily technical analysis by Coindesk analyst and chartered market engineer Omkar Godbole.

There is an old saying, “One is a chance, two is a coincidence, and the third is a trend.”

Applies to Bitcoin

Right now. Cryptocurrency prices have returned to the 50-day Simple Moving Average (SMA) and provided support twice this month, bouncing the price.

Thus, the latest retest of the average shows the opportunity for the Bulls to establish a trend for 50 days of SMA to make new legs higher. Conversely, a 50-day drop in SMA support could lead to stronger sales pressure, potentially below $100,000.

At the time of press, the bear case appears to be strong due to signs of cow fatigue, as is evident from the recent shallow bounce from the SMA for 50 days. The first test averaged June 5th bounces ranging from around $100,500 to over $10,000. However, in the second test of the SMA on June 17th, prices only went from $103,000 to $109,000.

Last week’s Doji Candle also suggests fatigue for bulls that exceed $100,000.

Restoring the immediate bullish outlook requires a massive amount of movement over $110,000.

Did XRP head to Doge Way?

Payment-centric cryptocurrency XRP

It is traded at the bottom of Ikkyoun, a momentum indicator based on several moving average variants developed by Japanese journalists in the 1960s.

The crossover above and below the clouds is said to represent a bullish, bearish change in momentum.

As a dogecoin, when the asset price passes under the cloud

Earlier this month, it usually shows a bearish trend. Traders often interpret this as a signal to consider selling or shorting an asset.

XRP’s 50-day SMA is already below the 200-day SMA, confirming bearish indicators, which are what we call death crosses. Therefore, potential movement under one cloud can be costly for the bear, potentially opening doors for slides that are less than $2.

On the chart, support is $1.60, and you can see it directly at the early April lows. Coins like Doge, Ada and Link have recently fallen under their respective one-sided clouds, resulting in price losses.

Two new Coinbase ads recently hit U.S. screens, reviving crypto’s populist pitch at a time when inflation is stubborn, Bitcoin is soaring, and Americans are once again talking about “building.”

One spot reframes Bitcoin as “money from the future,” while another shows how a U.S. home’s price has dropped from 30,000 BTC to just 5 BTC in little over a decade. It’s part cinematic flourish, part economic critique, and thoroughly calibrated to the moment.

The ads: Gloss, message, and timing

The campaign trades celebrities for narration, pairing moody drone shots with punchy data-led storytelling.

In “Money From the Future,” the presenter opens with a sweeping vision of America’s industrial revival, fighter jets, robots, and construction sites, then asks: Who’s upgrading the most important tech of all, our money?

If you want to build the future, it starts with money from the future.

We’ve got something(s) you’re going to like.

This Thursday. June 12th.
Save the date. pic.twitter.com/tslUspMoO0

— Coinbase (@coinbase) June 9, 2025

“It’s crypto,” the narrator declares. “If you want to build the future, it starts with money from the future.”

The second spot, “Bitcoin House,” is even more direct: In 2012, a median U.S. home would cost you 30,000 BTC. A decade later: 20. Today? Just five. The message lands with a simple, provocative question: “If home prices keep falling in Bitcoin, why do they keep rising in dollars?”

Who’s got the “Price of Housing in Bitcoin” chart? pic.twitter.com/Hf4rckBy2M

— Coinbase (@coinbase) June 7, 2025

That line lands harder in May 2025 than it might have a year ago. CPI continues to tick up, and Bitcoin just crossed $100,000. The Federal Reserve’s monetary policy is back in the political spotlight. And Coinbase, notably, hasn’t shied away from targeting the Fed itself.

In response to its own tweet, Coinbase shared a link to a site comparing average US house prices with Bitcoin. The chart paints a stark picture with the two lines intersecting in a cross formation, showing house prices rising from $170,000 in 2015 to over $320,000 in 2025. Conversely, the Bitcoin price has fallen from over 500 BTC to less than 3 BTC.

Therefore, the cost of a ‘typical home’ in the US has fallen 99% since 2015 when priced in Bitcoin, while rising 94% in dollars.

Coinbase’s bigger bet

This campaign is part of a broader push by Coinbase to shape the public narrative around crypto. The exchange continues to lead a global lobbying drive, “Stand With Crypto,” to press lawmakers to pass clear regulatory rules for digital assets. The website now includes four geographic regions with tailored content for each: Canada, the United States, the UK, and Australia.

Those legislative debates are heating up. In Washington, the White House continues its Crypto Roundtable events and the president continues to invest in crypto through his private interests including the Official Trump memecoin and World Liberty Financial.

Coinbase’s ads arrive at the right time to remind viewers and policymakers that crypto isn’t going away. It’s becoming more legible, robust, and integrated with the economic realities Americans care about most.

If America is indeed “back to building,” Coinbase wants to ensure crypto is seen as the foundation, not a sideshow. These new ads recast Bitcoin not as a speculative asset, but as a monetary upgrade to match our AI-powered, jet-fueled, robot-rebooted future. It’s a bold bet on narrative – one timed perfectly for a new market cycle.

Mentioned in this article

An ex-JPMorgan analyst has reportedly set up a mysterious hedge fund in Taiwan that has so far recorded massive return rates.

Former JPM Asset Management analyst Andre Liu has quietly created a proprietary trading firm powerhouse in Taipei that has far outshone the rest of the industry, reports Bloomberg.

According to the firm’s internal documents seen by Bloomberg, UC Capital has recorded an internal rate of return of 51% since it was launched in 2021.

A report from research and insights firm PivotalPath found that in 2024, hedge funds scored an average return of 10.7%.

Citing people familiar with the matter, Reuters reported that hedge fund giant Citadel’s flagship Wellington fund saw a 15.1% return that year while Millennium Management saw 15%. Bridgewater Associates, which is widely regarded as the largest hedge fund in the world, posted 11% in gains for its flagship Pure Alpha 18% volatility fund.

Bloomberg’s data also shows that UC Capital has routinely beaten the local market in Taiwan (TAIEX), even recording significant gains in 2022 despite the Taiwan stock market index ending the year in the negative.

UC Capital turned heads in Q4 of last year when it successfully purchased the ball that baseball star Shohei Ohtani hit his 50th home run on the same season he also stole 50 bases – a legendary feat in the MLB.

According to Bloomberg, Liu started UC with a colleague in 2013, and by 2021, the firm’s assets exploded 27,000% before the trader decided to start his own company.

Says Liu,

“Ever since I was a kid, I believed that the heart of trading lies in the changes in moods and sentiment.”

Consequently, UC’s engineers have built a model to measure public discourse by scraping and analyzing social media, online forums, news articles and comment sections, in what the firm describes as “sentiment thermometers” to track certain trending topics and behavior.

Leveraging its sentiment-driven approach, UC capitalized on a decline in TSMC’s share price earlier this year after its models detected a surge in public discourse involving President Trump and the company’s future. At the time, the chipmaker announced a $100 billion investment in its US plants.

UC also reportedly bought an earthquake detector on the eastern coast of Taiwan so that the firm would know about earthquakes before anyone else could in order to short markets in case of uncertainty.

The trading firm currently has about $497 million in liquid assets before leverage.

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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

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April 16th Chart Interpretation Series: Simple Moving Average SMA vs Exponential Moving Average EMA – Basics of Trend Trading

Read the Chart Interpretation Series:A guide designed for traders who imagine experts to understand and apply the most important chart indicators.

Understand whether you are a beginner just starting out with technical analysis or an experienced trader who wants to improve your knowledgeMoving AverageEverything can improve your trading decision level.

Let’s start with the basics:SMA vs EMA

What is the moving average?

Information about price lists can be confusing and complicated. Data fluctuations caused by price changes per second can even escape experienced traders.

Average movement helps to remove confusion and discover actual market trends.

Moving averages allow for easier identification of whether market trends are bullish, bearish, or consolidated, by averaging prices over a specific time frame.

The central role of moving averages:

• Check market trends
• Highlights potential entries and exit areas
• Check the signals of other indicators
• Avoid emotional transactions based on short-term volatility

On any trading platform, you will see two main types of moving averages.Simple Moving Average (SMA) andExponential Moving Average (EMA).

Let’s discuss together!

Simple Moving Average (SMA): Provides an observational perspective on long-term trends

On Bitfinex charts, it is a moving average (MA, moving average)

SMA is the closing price for a set period (for example, 10, 50, or 200 days) divided by the number of days in that period. SMA gives each price the same weight. It does not respond to short-term fluctuations in prices, but shows the average trend direction over a period of time.

example:A 50-day SMA adds up the closing prices for the past 50 days and splits them into 50.

Common Usage Scenarios:

• A quick traderEvaluate long-term market trends using 50 and 200-day SMAs frequently
• Trend FollowersObserve prices above or below SMA to predict trend reversal

advantage:

• Smooth
• Filter short-term disruptions in the market
• Strong long-term trend checks

Disadvantages:

• Unable to immediately reflect sudden price changes
• Early signals of rapid market change may be overlooked

Exponential Moving Average (EMA): More sensitive trend tracking indicators

The exponential moving average also calculates the average price.Prices give higher weight in the near futureand will become more sensitive to current price changes.

for example:The 20-day EMA still includes prices for the last 20 days, but today’s data has had a greater impact than it was two weeks ago.

EMA is popular among ultra-short-term traders and buyers because it can quickly reflect price changes.

Common Usage Scenarios:

• Short term tradersFrequently use EMA for 9, 12 or 20 days to grasp market trends quickly
• EMA is commonly usedCross Strategyshort-term EMA crosses long-term EMA, an entry or exit signal will be displayed

advantage:

• It more accurately reflects recent price trends
• Helps to detect early reversals of market trends
• More popular in the rapidly changing market

Disadvantages:

• More error signals may occur when the market fluctuates
• Overreactions can occur in a horizontal integrated market

Which technical analysis should I use for SMA vs. EMA?

It depends on youTrade Mode,Time range and investment goalsThere is no absolute standard answer depending on it.

Most experienced traders doUse at the same timeSMA and EMA. for example:

• Use SMA for 200 daysCheck the trend
• Use EMA for 20 daysFind the entry signal

Apply it to your Bitfinex chart and test it now!

1. Log in to Bitfinex
2. Select a chart (BTC/USD, etc.)
3. Click on the Technical Indicator to add it.

4. Observe the signal displayed by indicators when market trends or moving average crossing occurs

You will notice the following patterns:

• 20-day EMA is less than 50 days: Short-term prices are weaker than long-term trends
• MAs under 50 days: The market is still below the average long-term trend, so caution is needed
• Prices are slightly below the 20th EMA: the market is about to resume that trend, but it has not yet recovered completely

This simple exercise will improve your chart reading comprehension over any theory.

Moving averages and index averages are the basis for countless trading strategies. Whether you are using it as an independent trend filter, or using other technical indicators such as an exponentially smooth similarity moving average MACD or relative strength index RSI, mastering these indicators will help you make your trading decisions in a clearer and more gentle way.Chart Interpretation Series for the next issue:Use an exponential smooth moving average (MACD) to grab the turning points of trends and take the lead in figuring out the market pulse.

]]> https://earlybirdsinvest.com/chart-interpretation-series-simple-moving-average-sma-vs-exponential-moving-average-ema-basics-of-trend-trading/feed/ 0 33264 https://earlybirdsinvest.com/bitcoin-bears-target-200-day-average-as-macro-concerns-overshadow-trumps-crypto-related-actions/ https://earlybirdsinvest.com/bitcoin-bears-target-200-day-average-as-macro-concerns-overshadow-trumps-crypto-related-actions/#respond Sun, 09 Mar 2025 17:22:55 +0000 https://earlybirdsinvest.com/bitcoin-bears-target-200-day-average-as-macro-concerns-overshadow-trumps-crypto-related-actions/

Bitcoin (BTC) bears looked to penetrate key support Sunday, extending a three-day losing streak as macroeconomic concerns overshadowed President Donald Trump’s recent-crypto-related announcements.

The leading cryptocurrency by market value slipped over 3% to $83,200, testing the 200-day simple moving average (SMA), according to CoinDesk and TradingView data. Prices have dropped over 10% since putting highs above $92,800 Thursday.

The latest decline comes as trade tensions between the U.S. and China are set to escalate on Monday. Beijing will levy tariffs on certain U.S. agricultural goods in retaliation for President Donald Trump’s latest hike on Chinese imports. The tariff war has injected significant uncertainty in the market and for policymakers.

On Friday, Federal Reserve Chairman Jerome Powell reaffirmed that the central bank will maintain its cautious stance on interest rates while assessing the economic impact of President Donald Trump’s policy shifts. The comments came on the heels of a soft U.S. nonfarm payrolls report and expectations for at least three Fed rate cuts this year.

According to observers, these developments, coupled with recessionary signals from the bond market, are taking focus away from Trump’s recent announcement of a strategic BTC stockpile.

“Despite the very positive news, Bitcoin fell 4% from $90,000 to under $87,000 in hours. It appears focus on Trump’s crypto-related actions are increasingly secondary as tariff war fears accelerate,” analytics firm IntoTheBlock said in the weekly newsletter to subscribers Friday.

The firm added that macro concerns, mainly tariff-related, have been pushing down markets, noting the strengthening positive correlation between bitcoin, ether and U.S. stocks.

“Further actions like Trump stating he’s not even looking at the stock market, and his administration targeting lower long-term interest rates instead, suggest that investor expectations of a Trump bull market may have been too eager,” the firm said.

Noelle Acheson, the author of Crypto Is Macro Now, said in Saturday’s edition that BTC’s dour price action in the wake of the strategic stockpile announcement “underscores how macro concerns still weigh heavy on crypto assets.”

The chart shows buyers stepped in below the 200-day SMA on Feb. 28 and March 2, leading to a price bounce. The market will likely keep an eye on this level to see if traders do the same again.