Bitcoin’s Consolidation Around $60,000 Could Last Several Months

A renowned analyst and crypto trader shared his bullish enthusiasm for Dogecoin (DOGE).

The Relative Strength Index (RSI) of Bitcoin, the leading DeFi asset, has reached its most oversold level in over 300 days.

Bitcoin’s RSI has now reached 30, a level last seen in September 2023. This previous phenomenon led to an over three-month consolidation just below key resistance at $30,000, as Jelle’s pseudonymous crypto analyst noted in a post on X (Twitter) on June 27.

Given this historical chart pattern, the expert suggested that if history repeats itself, Bitcoin, the largest crypto asset by market cap, could face an over three-month consolidation below $70,000.

However, Jelle also pointed out that after this “period of shredding” followed by a “capitulation at key support,” BTC could see significant upside, as he mentioned in a comment below his post, noting that the asset is already very close to key support levels.

One indicator of future price performance is the RSI. Professional crypto trader Ali Martinez highlighted that the current RSI suggests that it is an ideal time to buy the declining Bitcoin.

However, the crypto market is notoriously volatile and conditions can change unexpectedly. Therefore, conducting thorough research and keeping up-to-date on relevant events is crucial when investing in assets like Bitcoin, despite its bullish outlook for future price performance.

At the time of writing, BTC was trading for $61,246.