BTC Price Stays Strong at $71K While S&P 500 Slides: Stocks Rolling Over – What's Next? (March 13 Update)
Source: TradingView
In the weekly time frame the Relative Strength Index (RSI) is once more a very useful tool, and in this much higher time frame it has even more importance. It can be observed how each time in the previous two big patterns, a break of trend in the RSI corresponded with the start of a huge upside rally.
The trendline for this current indicator line movement is not perfect like the previous two were. However, it’s probably good enough, and it is showing an imminent breakout. If the price action above continues to rise, this breakout is going to take place.
Going back over big rallies for the last 3 bull market cycles, the breakout in the RSI heralds them all. As long as this breakout does occur, it would point to a matching rally in the price action. What stops it? If the indicator line does not break out and is instead rejected, this could mean a period of a few more weeks or even months before the indicator line is ready to break through again. Definitely something to keep an eye on.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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