Analysis: Bitcoin Could Fall to $57,700 if Weekly RSI Breaks Below 41.5
Summary
- Keith Alan, co-founder of Material Indicators, said Bitcoin could fall to the current cycle low of $57,700 if its weekly RSI falls below 41.5.
- Bitcoin has dropped to $67,500, falling below its 200-week simple moving average (SMA) of $67,993), the first such test in about 11 weeks.
- He said Bitcoin could also reverse into an uptrend if it holds its current support zone.
Forecast Trend Report by Period
Bitcoin faces the risk of further losses, Cointelegraph reported on Nov. 13.
Keith Alan, co-founder of Material Indicators, said Bitcoin could fall to $57,700, the low of the current cycle, if its weekly relative strength index falls below 41.5.
RSI is a technical indicator used to determine whether an asset is overbought or oversold. The 41.5 level Alan cited has acted as a key support line since late July.
Bitcoin fell to $67,500 on the day, dropping below its 200-week simple moving average of $67,993. It was the first time in about 11 weeks that Bitcoin had touched that moving average, since Aug. 19.
The 200-week moving average is a long-term trend indicator that has historically served as a key support or resistance level during Bitcoin bear markets.
Alan added that Bitcoin could also reverse higher if it successfully defends its current support zone.
Uk Jin
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