B Bitcoin

Technical Analysis: Bitcoin Price Is Overbought But Not At Extreme Level

04 January, 2021
Bitcoin Price - weekly




 

Yesterday, Bitcoin price reached another record high, topping $34,000 before slipping this morning. Although fundamentals can partly explain the recent rebound, the strength of the move has been discussed since several days.

 

 

On the technical front, Jean-Charles Gand, Chief Technical Analyst at Market Securities, noted this morning, Bitcoin price “looks overstretched here as pointed out by the RSI indicator. However the chart below shows that Z-score 200-WEEK moving average stands at +5.6 standard deviations, which is still below the record level of +7.6 standard deviations reached on Dec.10, 2017.

 

Bitcoin Price - weekly