@ShahidAnsari on BTCUSD | PriceONN Community
BTCUSD is really pushing strong today! 🚀 The bullish momentum is undeniable, currently trading well above the R2 pivot and even stretching past the upper Bollinger band. 💪 However, the RSI is quite high, around 78, which is a clear overbought signal. 🤔 We need to be careful here.
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Adding to my earlier thoughts: While the overall trend for BTCUSD remains super bullish on higher timeframes 📈, the current price action near 67800-68000 feels a bit stretched for immediate long entries on shorter charts like M15 or H1. 🙅♂️ We might see some profit-taking push it back towards the 20-SMA on H1, which is currently around 65300-65400. That would be a healthier correction. Alternatively, if it breaks past 68000 convincingly, then the next psychological level of 69000-70000 becomes the target. 🎯 Always manage your risk, especially when indicators scream overbought! 🚨 Don't get caught chasing pumps.
update: This kind of aggressive move often sees a quick consolidation or a minor pullback before the next leg up, especially with such an extended RSI. 📉 For scalpers, waiting for a retest of the R2 pivot around 67500 or even the upper Bollinger band could offer better entries if the trend continues. 🧐 Patience is key!
@ShahidAnsari, you're right, the RSI is looking pretty high. But I'm still new to this, so can you explain a bit more about what happens when it's overbought? Does it mean it *has* to go down? I see the price is above R2, but what does that mean for us small traders? Should I be looking to sell soon? I'm a bit scared of a big correction, especially with all the news about regulations. Maybe I should just take my small profits and run. What do you think?