The basic target for Bitcoin (BTC) reached a low of several months after the market crash in March 2020.

As noted by popular analysts on January 5, Bitcoin’s RSI shows “hidden bullish divergence” on the monthly timeframe – and if triggered, they say, the result will be very satisfying for scammers.

The RSI will fall below the summer 2021 level
Amid the frustration with the lack of direction for BTC / USD, it is no secret that many network indices have long called for higher price levels.

The current price of $ 46,000 may fall further, but the classic RSI meter now shows how “oversold” Bitcoin is at this price.

“Bitcoin’s monthly RSI is currently lower than the May-July 2021 correction,” said the famous analyst Matthew Hyland, referring to Bitcoin’s summer correction after the miners’ shock in May.

While the BTC / USD fell to $ 30,000 during that period and the monthly RSI around 60, the price is now higher and the RSI lower at only 58.95. Only in September 2020 was the figure lower when the price of Bitcoin / US dollar was around $ 10,000.

BTC / USD monthly candlestick chart (bit stamp) with RSI. Source: TradingView
A co-trader and analyst at TechDev replied, “In addition to the monthly lows, the monthly RSI also prints a pattern that has only been seen once before.”

“There is only one monthly bullish section hidden in the history of bitcoin that I can appreciate. Let’s see if it is confirmed,” he wrote.

The RSI has traditionally been used to determine whether an asset has been overbought or oversold at a certain price, and Bitcoin has earned particularly well in recent months.

For example, the RSI was 68 in mid-October. TechDev notes that this level is still far from the point where Bitcoin will reach long-term price heights.

time to go out
Meanwhile, Bitcoin has not convinced everyone of a bright future.

Related: Bitcoin Open Interest Meets All Records Among BTC Fireworks Price Predictions This Month

Some well-known traders have set high goals that they say must be broken for the market to rise.

Among them is Bentoshi, who said he would reassess the market significantly from a macroeconomic point of view only after $ 58,000-60,000 in revenue and orders.

He argues that the market structure at the beginning of 2022 is very different from the other points in the period starting in March 2020.

“The odds are not good, IMO. Although I think Q1 gives a good result for many “, he concluded in his summary of his forecasts at the beginning of the year.

Source: CoinTelegraph

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