Analyst Warns of Potential Bitcoin Crash as TD Sequential Indicator Flashes Bearish Signal

Cryptocurrency analyst Ali Martinez has issued a stark warning about Bitcoin (BTC), citing a concerning bearish signal from the historically reliable TD Sequential indicator. With 139,100 followers on platform X, Martinez notes this technical analysis tool - used to identify trend reversals - has just triggered its fourth quarterly sell signal since 2015.

The analyst highlights the indicator's ominous track record: "This single tool predicted every major Bitcoin collapse. In 2015, it preceded a 75% crash. In 2018, the same setup led to an 85% plunge. If history repeats, Bitcoin could plummet below $40,000 from its current $107,850 valuation."

Supporting Martinez's cautionary stance, IntoTheBlock data reveals a 45% decline in large BTC transactions (over $100,000) between May 22 and June 29. Furthermore, CryptoQuant reports a dramatic 36,988 BTC drop in 30-day buying demand, with apparent demand now sitting at -37,000 BTC - signaling rapidly waning investor interest.

As market watchers await the indicator's next move, Martinez emphasizes this rare warning has historically preceded significant crypto corrections. Traders are advised to monitor the situation closely as Bitcoin faces potential volatility ahead.