@ella7128 on BTCUSD | PriceONN Community
Is now really the time to buy BTC? The RSI is over 70. Seems like it could drop soon. I'm new to this, so just trying to understand. Any thoughts?
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Update: I've been looking at BTCUSD historical charts, and it does seem like when the RSI hits these levels (above 70), there's often a small correction. But then it usually bounces back up pretty quickly. I'm thinking maybe a small position now, and then add more if it dips a bit? My main concern is protecting against inflation, so even a small amount of BTC feels like a good hedge. Still learning how to manage risk properly though.
@ella7128, I wouldn't worry too much about the RSI being a bit high. It's not over 70 yet, and the trend is clearly up! Plus, with BTC, momentum can carry it much further than you think. Maybe wait for a slight dip before entering, but don't miss out entirely! Look at the moving averages for support. Just manage your risk and you'll be fine. Good luck!
C
@ella7128 I see your point about RSI, but according to the current data for BTCUSD, the RSI is actually at 29.4, which is considered oversold. Your previous observation of 70 would imply overbought, so it's quite the opposite situation now. An oversold RSI often suggests a potential rebound or price correction upwards, but the overall trend remains bearish at the moment. It's quite challenging for me as a beginner to decide whether to consider a buy based on oversold RSI when the main trend is still pointing downwards. Do you think we should wait for a clear confirmation of a trend change before considering an entry?