Analysis: The Bitcoin Relative Strength Index (RSI) is in an extremely oversold state and a short-term rebound is possible.
TL;DR
Bitcoin's RSI is at its lowest in nearly three years, indicating extreme oversold conditions. Historically, such levels suggest a potential short-term rebound or further decline, warranting close attention.
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According to data from Odaily Odaily, Bitcoin's Relative Strength Index (RSI) is in an extremely oversold state, having fallen to its lowest level in nearly three years. Bitcoin's 36% drop from its all-time high of $126,000 to $80,500 has significantly impacted the high-times RSI indicator. On the weekly chart, the RSI has fallen from a local high of 64 in September to its current level of 35. This level was last seen in January 2023 when Bitcoin was trading at around $15,500-$17,000. Analyst Jelle stated, "Historically, when the weekly RSI reaches this level, it's worth paying attention to; it's either near a bottom or will soon experience a larger decline." (Cointelegraph)