Bitcoin reaches one of the most oversold levels in history
Analysts at K33 stated that Bitcoin is currently in a state of strong overselling after months of selling pressure. The cryptocurrency has experienced six consecutive weekly declines and almost five months of downtrend, with the weekly RSI dropping to 26.84 — the third lowest level in its history.
The market faced pressure due to sales by long-term holders and institutional position reductions. At the same time, K33 notes that such periods have often preceded rallies in the past. Historically, after phases of negative funding, the average BTC return over 30 days has been around 13%, and between 90 to 180 days could reach up to 100%.
This indicates a potential price recovery in the coming months, which might encourage investors to increase attention on Bitcoin soon.
