Bitcoin could rise above the highest level of the year despite the $ 1000 correction it saw on Tuesday. Bitcoin price prediction comes from the cryptocurrency's 14-week Relative Strength Indicator. Technical Bitcoin analysis indicators appear above the levels that maintain the overall upward trend of the market and confirm a moderate buying feeling.
Although Bitcoin has not retested the 10,500 level since February 2020, it is likely to increase its upward momentum above $ 10,500. The RSI value points to over $ 10,500 for Bitcoin, which further reinforces the prospect of going above this level in the near future.
In particular, the RSI defines the overbought and oversold conditions of an asset based on numerical parameters moving between 0 and 100. A reading above 70 reflects excessive purchase, while a stop below 30 indicates oversold. Values between 30 and 70 indicate a neutral area.
The 14-week RSI keeps the Bitcoin bullish trend above 52 on the entire trading date on the Coinbase exchange. If Bitcoin stays above the red horizontal line, it continues to run the new bull run. On the contrary, if it falls below 52, it means the bear market.
RSI followed a trend above pivot level between October 2015 and January 2018. Bitcoin price increased by 7.500% in this period, while the Oscillator remained below 52, Bitcoin price fell by 83.43%.
In February and March, RSI fell below 52 again during virus-market sales. Later, RSI exceeded 52 as a result of the strong momentum of traction by the traders. During this period, when the RSI value saw above 52, Bitcoin price increased from around $ 3,800 to $ 10,430.
With the latest Bitcoin price movement, the leading Crypto currency dropped $ 1,000 in just 10 minutes, and this downward movement for Btc stopped at $ 9,300. On Wednesday, Bitcoin passed the $ 9,500 level to test again above $ 10,500.
The 14-week RSI value appears to be 57, indicating strong purchases. After strong purchases, the leading Crypto currency can test the $ 10,500 level again. Conversely, if the RSI value is below 53, a drop to around $ 7,000 can be seen.