Bitcoin Breaks Below 365-Day Average for First Time This Cycle

Bitcoin has fallen below its 365-day moving average, a long-term trend indicator that historically signals consolidation rather than immediate trend reversal.

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Bitcoin 365-day moving average
Photo: finmire.com

Bitcoin has moved below its 365-day moving average, according to Bloomberg data, placing the cryptocurrency below a key long-term trend indicator.

The 365-day moving average is widely used to assess Bitcoin’s structural trend. In previous market cycles, sustained trading above this level typically coincided with bullish phases, while moves below it often marked periods of consolidation or trend reassessment.

Bitcoin 365-day moving average

Historically, similar breaks below the 365-day average did not immediately lead to sharp sell-offs. Instead, they were frequently followed by sideways price action before the next directional move emerged.

At current levels, the market appears to be testing long-term support, with investors closely monitoring whether Bitcoin can reclaim the moving average or remains below it in the coming sessions.