Riot Platforms Faces ‘Death Cross’ Amid Rising Bitcoin Volatility

Riot Platforms Signals Concerns with Death Cross Formation RIOT has officially indicated a downturn, forming a Death Cross as its 50-day simple moving average (SMA) falls below the 200-day SMA.

On Monday, shares climbed 3.93% by early afternoon, yet the overall trend remains unfavorable—down 29.3% year to date and down 35.5% over the past year.

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Read also: Bitcoin Miners Core Scientific, Riot Platforms, CleanSpark, Iris Energy see Price Targets Slashed: Bernstein

Technical Indicators Point to Ongoing Weakness

The technical indicators present a challenging outlook for RIOT stock. Currently, RIOT is trading below critical moving averages, including its five-day, 20-day, and 50-day exponential moving averages. This underlines a strongly bearish trend, despite minor buying activity.

Notably, the eight-day simple moving average stands at $7.80, and the 20-day SMA is at $7.84, both indicative of potential continued decline. Furthermore, the 50-day SMA at $9.86 highlights the stock’s steep drop, while the 200-day SMA at $9.94 remains considerably above RIOT’s current price of $7.04, limiting short-term optimism.

The Moving Average Convergence Divergence (MACD) indicator reading of negative 0.64 also suggests bearish sentiment, while the Relative Strength Index (RSI) of 35.04 indicates that the stock is nearing oversold conditions, although not quite there yet.

Future Outlook for RIOT Stock

Although Tuesday’s small uptick provided some relief to investors, the overarching trend stays bearish unless RIOT can break its current downward trajectory. The death cross—a significant technical signal—often portends continued weakness. Coupled with Bitcoin’s ongoing volatility, RIOT stock investors face uncertainty ahead.

At this juncture, the trend does not favor Riot. The pressing question is whether the recent bounce signifies a potential reversal or if it’s merely a temporary pause in a downward trajectory.

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