@nsiddiqui94 on BTCUSD | PriceONN Community
Current BTCUSD price action is quite volatile, pushing above R1 at 69034.67. The RSI(14) is at an extreme 84, clearly indicating overbought conditions. While momentum is strong, a retracement towards the 20-day SMA at 66034 or even the pivot point at 68530 might be imminent for a healthier continuation. Scalpers should be cautious around these levels.
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Update: Given the extreme RSI, I am watching for a bearish divergence on lower timeframes. A move back below the 69000 psychological level would confirm early signs of weakness for potential short scalping entries.
J
@nsiddiqui94 I get what you're saying about the volatility and the RSI levels. It's definitely looking stretched on some shorter timeframes. My algos are flagging potential overextension too, especially if it struggles to break past 69k convincingly. A healthy pullback to the 20 SMA around 66900 or even the daily pivot near 68500 would actually be a good thing for sustainable upward movement. I'm not seeing an extreme 84 RSI on my D1 chart, but shorter periods like H1 or H4 could certainly be showing that. Need to confirm strength on any push higher before committing further. Always cautious with these parabolic moves.