Bitcoin price could rebound after reaching extreme oversold levels
BTC price is inching towards a Relative Strength Index historical low.
Bitcoin price is on a steep decline.
Invalidation of the bullish scenario is a break below $28,799.
Bitcoin price steep decline spells for a capitulation event underway. More price decline is likely to occur, but traders should consider the bullish macro thesis event until $28,799 is broken.
Bitcoin price likely to tap $29,500
The Bitcoin price decline has analysts deeming the cryptocurrency market a bear market. Although the decline is quite powerful, from a macro perspective, the only way to truly validate the bear market opinion is a breach of the $28,799 level, which would invalidate the bullish Bitcoin triangle thesis.
Bitcoin price is coming to a historical level on the Relative Strength Index. The 7% zone on the RSI was last touched in November 2019. Market bottoms are historically known to occur at extreme RSI lows. Thus an entry at this level, whether 30,000 or $29,000, will be a superb entry.
The invalidation of the Bitcoin triangle remains at $28,799. If this level gets breached, a bear market would be genuinely underway. BTC price next targets would be $20,000 and $17,000, resulting in a 40% decrease from the current BTC price.
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