Bitcoin (BTC) RSI Hits Most Oversold Level in Over 300 Days, Consolidation May Extend for Months

If history repeats itself this time around, the largest asset in the crypto sector by market capitalization could be looking at more than three months of consolidation below $70,000.

Bitcoin (BTC) could potentially consolidate for several months before experiencing a significant bull run, according to a recent analysis.

As reported by Finbold on June 28th, BTC’s relative strength index (RSI) has hit its lowest level in over 300 days, indicating that the flagship cryptocurrency is oversold.

Specifically, Bitcoin has reached an RSI of 30, which was last seen in September 2023, ahead of three months of consolidation below $30,000 resistance, as observed by pseudonymous cryptocurrency analyst Jelle in an X post on June 27th.

Based on this previous chart pattern, if history repeats itself, the world’s largest crypto asset by market capitalization could face over three months of consolidation below $70,000.

However, after these “months of chop” and “capitulation into key support,” Jelle suggests that “true moon would make sense ngl,” as noted in a comment on the X post, adding that the pioneer crypto asset is already very close to key supports.

Bitcoin price analysis now

At the time of writing, Bitcoin is trading significantly below the suggested consolidation level, with its price currently at $60,740, showing a 1.26% decrease over the last 24 hours and a 7.51% drop over the previous seven days, adding to the 10.74% loss on its monthly chart.

Meanwhile, whales and other crypto traders are using this opportunity to ‘buy the dip’ while Bitcoin’s price is still relatively low before it inevitably booms to the levels predicted by many market experts, ranging from $100,000 this year to millions in the next several years.

One predictor for the future price performance of the original cryptocurrency has been the RSI indicator, which professional crypto trader Ali Martinez highlighted was suggesting that now is the ideal time to buy the Bitcoin dip, as reported by Finbold on June 26th.

However, the winds in the crypto waters can easily change and push the sails in an unexpected direction, so it's crucial to conduct your own research and stay up-to-date on any relevant developments when investing in assets like Bitcoin, despite the promising outlook for its future price performance.

The above is the detailed content of Bitcoin (BTC) RSI Hits Most Oversold Level in Over 300 Days, Consolidation May Extend for Months. For more information, please follow other related articles on the PHP Chinese website!