The S&P 500 index formed a technical pattern known as the "death cross" on April 14, 2025, marking the first occurrence of this pattern since March 2022. The death cross happens when the 50-day moving average falls below the 200-day moving average, a signal often interpreted as bearish by market analysts. Despite this, some analysts caution that the death cross may not be as ominous as traditionally believed. The S&P 500 briefly bounced from 5,000 to around 5,400 points, but market sentiment remains fragile, with options sentiment indicating defensive hedging and short gamma positioning by dealers. The index recently dropped from 6,100 to below 5,500 points, with only about 100 stocks remaining above their 200-day moving averages, suggesting broad and structural weakness in market breadth. Volatility skew data shows elevated implied volatility on downside options, reflecting continued demand for protective puts and pricing in tail risks. Tesla Inc. (TSLA) shares also experienced a death cross, with its 50-day moving average dipping below the 200-day, leading to a 1.5% decline at market open. However, Tesla's stock has shown resilience in past instances of this pattern, recovering after previous occurrences.