AB Crypto Plunges 17% as Death Cross Looms – Yet Investors Double Down on Bullish Bets

Blood in the streets? Not for AB crypto hodlers.

The asset nosedived 17% in a single day as its 50-day MA crossed below the 200-day—a classic 'death cross' that'd make traditional traders sweat. But the crowd? Still stacking sats like it's 2021.

Technical Doom vs. Diamond Hands

Charts scream bearish. The death cross typically foreshadows extended downturns—just ask any crypto vet who survived 2018. Yet exchange inflows suggest retail's treating this like a Black Friday sale.

The Contrarian Playbook

While quant algos panic-sell the crossover, grassroots wallets are loading up. Governance polls show 68% of voters expect ATHs by Q3. Either they've spotted institutional accumulation the tape doesn't show... or they're high on hopium.

One thing's certain: in crypto, 'irrational exuberance' isn't a bug—it's a business model. Just ask the guys who bought Luna at $100.

AB bearish trend deepens amid manipulation concerns

AB’s decline on the 4-hour chart began right after it broke below an ascending support line, shattering the bullish structure.

This trendline had previously served as a base for multiple upward pushes. Once breached, price retraced toward the same zone—around $0.01002—where the rally began.

Source: TradingView

Interestingly, a long-wick candlestick formed on the 16th of June, marked NEAR this exact level. That wick, paired with the chart’s horizontal marker, hinted at something deeper.

Some traders may be intentionally driving the price lower to fill limit buy orders resting near the earlier breakout point.

Whether coordinated or opportunistic, this drop looks less like panic and more like precision.

Death cross spotted!

An additional wave of bearish momentum is contributing to the building downward pressure.

At the time of writing, a Death Cross pattern formed on AB’s 1-day Moving Average Convergence Divergence (MACD) indicator.

This bearish signal implies that the price could soon experience a significant decline. If the MACD and signal line cross into negative territory, the fall may accelerate.

Source: TradingView

This outlook aligns with the distribution phase that began in the last 24 hours. 

At press time, distribution volume in the market reached -454 billion, a substantial bearish signal that suggests investors are more inclined to sell than hold.

If this bearish trend persists, AB is likely to remain on this downward path and continue losing value.

Will bullish votes be enough to halt AB’s decline?

Interestingly, 77% of CoinMarketCap voters still expect a rebound. But price doesn’t MOVE on hope alone.

Source: CoinMarketCap

As of the 21st of June, Community Sentiment showed Optimism climbing again, even as the price broke below $0.012.

So while the crowd votes green, the market paints red.