Coinbase Institutional report signals prolonged downtrend in crypto market

The cryptocurrency market appears to be entering a prolonged downtrend, according to a report from Coinbase Institutional, as cited by CoinDesk. The report highlights Bitcoin's decline on March 9 below its 200-day simple moving average (SMA), a widely recognized technical indicator of a bear market. An index tracking the top 50 altcoins by market capitalization has been in a downward trend since late February, with its Z-score suggesting that the most recent bull cycle ended around that time. Despite Bitcoin reaching an all-time high earlier this year, venture capital investment remains 50% to 60% below levels seen in 2021–2022. The report indicates that the market could bottom out in the latter half of Q2, followed by a gradual recovery beginning in Q3.