On the short-term time frame, Bitcoin (BTC) started to become overbought. However, on the weekly time frame, There are signs that upward price momentum may be returning.
Stochastic RSI – short term signal
The Stochastic RSI is a price momentum indicator that signals overbought and oversold conditions. When viewing the Stochastic RSI for the 4 hour, 8 hour, 12 hour, and 1 day time frames, they all have the indicator at the top. It points to all time frames possibly falling in the coming days, leading to price cuts.
It is important to remember that sometimes the Stochastic RSI line may hover at or near the top for a long period of time before coming back down.
Buy BTC in bulk for US Spot Bitcoin ETFs
In addition to technical analysis indicators Actual Bitcoin buying and selling also changed on Friday, as US Spot Bitcoin ETFs saw the fifth-largest net inflows with total purchases of 9.36K BTC, or the equivalent of $907.30 million if reversed. Come buy at this level. We can expect the price to return to the all-time high of 108,000 soon and beyond.
Price increases at Trump’s inauguration
Just two more weeks to go. The swearing-in ceremony of Donald Trump as the next president of the United States. The positive atmosphere that cryptocurrencies will unleash cannot be overlooked. If a short-term price drop does materialize for Bitcoin, it is likely that the next price increase will occur during the opening ceremony. This will cause the price to increase extraordinarily.
BTC price continues to respect the uptrend line.
Source: Trading View
The daily chart of $BTC shows that the price has generally moved sideways over the past few months. The price appears to be respecting and staying above the uptrend line since 2021. Any breakout and confirmation below this line is cause for concern.
Looking at the Fibonacci levels, it can be seen that the price just touched 0.5 Fibonacci and at the same time It made slightly higher local highs. When the Stochastic RSI is above, there may be a pullback from here. That said, if one ignores the point where the price is above the ascending trendline, the Stochastic RSI is actually falling. This tells us that this indicator is less reliable. The time frame will be even lower.
Forming the weekly RSI to cross back up.
Source: Trading View
It is on the weekly time frame that the most interesting movements in the Stochastic RSI can be observed. It can be seen at the bottom of the chart that the blue express line is bending upwards. Support may be found at the indicator’s 0.50 midpoint, now forming to cross back above the orange slow line. If this happens Maybe later this week. Much bigger momentum will come back under the $BTC price again, pushing the price higher.
Huge Price Momentum Comes From Monthly Stochastic RSI
Source: Trading View
When looking at the monthly graph It can be seen that there are no false indications in the Stochastic RSI. The indicator line is currently heading upwards. When the pair crosses the 0.80 level, the momentum increases until it reaches the highest level. Where the blue line has crossed, next week is likely to see a cross for the orange line as well. When that time comes The final blow of the bull market could also happen.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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