Bitcoin price: weekly RSI nears 2022 lows

In past market cycles, sentiment rarely broke down as a straight, uninterrupted slide. More often, price shifted into a range: sharp moves up and down kept tripping stop orders and forcing leveraged positions to unwind. Matrixport analysts point to a similar setup. They note that more durable reversal phases often start after the 21-day average of a daily sentiment indicator drops below zero, then climbs back into positive territory.

The current tape largely fits that playbook. In one of the latest sessions, when the US had a bank holiday and order book depth was thinner than usual, Bitcoin quickly traded through the area around $70,000 and then snapped back below it. Analysts describe the move as a series of short breakouts and pullbacks, with the market gradually collecting liquidity on both sides.

According to CoinGlass, liquidation volume picked up noticeably during those moves. Traders also flagged large resting limit orders that appeared above spot during bounce attempts, capping the upside. Overall, the flow looked more like liquidity being redistributed inside a range than a clean, directional trend.

The key metric in this story is weekly RSI. It dipped to 27.8, the lowest reading since June 2022. Levels below 30 are typically treated as oversold, but context matters: RSI measures the speed and size of moves, not a guaranteed turning point. Historically, similar readings did coincide with major bottoms in 2015 and 2018. In 2022, though, after RSI moved into that zone, the market stayed choppy and range-bound for months before setting a more durable low.

That is why today’s RSI levels are best read as a signal of stress in the trend, not as a promise of a reversal. If negative conditions persist, price still has room to slide further. At the same time, these phases often come with higher intraday volatility and a tug-of-war for liquidity, where risk management matters more than trying to buy the exact bottom.