Bitcoin Oversold on Weekly Price Chart for First Time in Four Years

A key long-term bitcoin (BTC) price indicator is reporting oversold conditions for the first time in almost four years. The widely followed 14-week relative strength index (RSI), which oscillates between zero to 100, is currently seen at 29.80 – a level last seen in January 2015. An asset or a cryptocurrency is considered to be oversold if the RSI is holding below 30.00. On the other hand, an above-70 reading indicates overbought conditions. Essentially, the under-30 reading on the 14-week RSI indicates that the recent heavy selling from the highs…

Ethereum Recovers 15%, is it Demonstrating Oversold Conditions?

On December 8, within 15 minutes, the Ethereum price increased by more than 15 percent against the US dollar. Several traders expected Ethereum (ETH) to experience a short-term corrective rally after it dropped to a yearly low at around $82. A Local Bottom Prior to its price drop, a prominent technical analyst with an online alias “The Crypto Dog” said that Ethereum demonstrated a sign of a bottom and it could recover to a resistance level. “ETH double bottomed on the 30 minute chart while BTC made a new low. First sign…

Oversold Conditions Show Bitcoin Bottom

Twitter Facebook LinkedIn In the last 24 hours, the valuation of the crypto market increased from $137 billion to $140 billion after a minor recovery of around 2 percent. Both major cryptocurrencies and small market cap tokens have ended the day with relatively minor losses in the range of 1 to 3 percent. Is Bottom Near For Bitcoin? The volume of Bitcoin (BTC) has dropped from $5.5 billion back to $4 billion over the past several days, by more than 27 percent. Given that the value of BTC has not…

Various Technical Indicators are Showing Bitcoin is Severely Oversold

Williams %R, a technical analysis oscillator that demonstrates oversold or overbought conditions of an asset, is demonstrating highly oversold conditions for Bitcoin. As Olga Kharif at Bloomberg reported, the Williams Percent Range (WPR) of Bitcoin is hovering at around -83 percent. In WPR, -80 to -100 percent is considered oversold and -0 to -20 percent is oversold. Analysts state that the oversold condition of Bitcoin demonstrated by WPR could lead to a short-term corrective rally in the future, which may enable Bitcoin to break out of a major resistance level…