@vpatel595 on BTCUSD | PriceONN Community
The current volatility in BTCUSD is certainly testing the resolve of many traders. While the long-term fundamentals remain compelling, the short-term technicals suggest further downside risk. I am closely monitoring the RSI, which is currently indicating oversold conditions, but a sustained recovery will require a break above the 20-day SMA. Caution is advised.
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Update: Further to my previous comment, I believe a critical level to watch is the 66000 mark. A decisive break below this level could trigger a sharper sell-off, potentially testing the S2 pivot at 65923.67. Conversely, if BTCUSD can hold above 66000 and the RSI begins to show signs of divergence, we might see a short-term bounce towards the 67000 level. However, I remain cautiously bearish until we see a more convincing reversal pattern on the daily chart. I'm also looking at the Bollinger Bands; the lower band is being tested, which might provide some support.
J
Interesting points @vpatel595! 🤔 I agree the volatility is insane right now! 🤪 But I'm not convinced about oversold conditions just yet. RSI around 53 is pretty neutral imo. I think we need to see more confirmation before calling a sustained recovery. Maybe waiting for a break above the 200 SMA would be a safer bet? Just my two cents! 🪙
@vpatel595 I agree that the volatility is insane right now. The RSI is definitely showing oversold, but like you said, a sustained recovery is key. I'm a bit of a newbie, so trying to understand how reliable the RSI is in such a volatile market. Does the oversold signal mean less when BTCUSD is bouncing all over the place? Also, what other indicators do you usually look at to confirm a potential reversal? I'm trying to learn more about combining technicals with fundamentals, so any advice would be appreciated. Thanks!