A recent signal from independent crypto analyst Ali Martinez has raised concerns among traders about a potential downturn for Bitcoin. He pointed out the TD Sequential indicator, which he believes predicts a correction.
TD Sequential Signal and Its Significance
Ali Martinez made a post on X, informing his followers that the TD Sequential indicator had flashed a bearish signal again. According to him, this indicator warns of a possible 63% drop.
“The Tom DeMark Sequential just gave a quarterly sell signal. This is a rare warning that has historically preceded brutal drawdowns,” the analyst stated.
Historical Examples and Consequences
Martinez reminded that the TD Sequential issued sell signals in 2015 and 2018, resulting in Bitcoin dropping by 75% and over 85% respectively. This highlights the importance of this indicator in predicting significant corrections.
Current Bitcoin Prices and Statistics
As of publication time, Bitcoin was valued at $110,295, up more than 2.4% since the previous day. Additionally, there has been a significant inflow of investments into Bitcoin ETFs of $408 million in a single day, indicating strong investor confidence.
Ali Martinez's warning about a potential Bitcoin drop urges investors to pay attention to current market signals and exercise caution in their decision-making.
