Bitcoin RSI Signals Potential Bottom as Analysts Watch Weekly Bullish Divergence

The relative strength index, or RSI, is a momentum gauge used to assess the speed and magnitude of price changes. A bullish divergence occurs when an asset’s price weakens while RSI improves, suggesting selling pressure may be fading. Bitcoin’s latest weekly setup is drawing comparisons with the closing phase of the 2022 bear market, making the signal relevant to investors debating whether the broader downtrend is nearing an end.

Bitcoin has produced conflicting directional signals after touching $80,000, while its weekly RSI reached 58.3 and formed a bullish divergence. Recent market analysis said the pattern resembles the momentum shift seen around Bitcoin’s late-2022 bottom, raising the possibility of a new price trend. The comparison remains a technical observation rather than confirmation of a reversal, and the available analysis does not establish that the macro downtrend has definitively ended.

Bitcoin’s historical price swings have followed cyclical patterns, and analysts often use technical indicators to predict bear-market bottoms. The two-month stochastic relative strength index is a key gauge of medium- to long-term price momentum. Because it successfully identified Bitcoin’s price lows during the bear markets of 2014, 2018 and 2022, the indicator is considered an important technical reference for assessing whether the market has bottomed and when a bull market could resume.

As of July 2026, TradingView analyst Max Crypto said the two-month stochastic RSI had entered oversold territory below 30 in March and was currently at about 4.81. Historical data show that a reading of zero followed by a bullish crossover signals a price bottom. He predicted that Bitcoin would repeat the pattern in 2026, offering the current market a technical signal for the bottom.

The relative strength index, or RSI, measures price momentum. A bullish divergence forms when Bitcoin's price continues to fall while RSI troughs move higher, a pattern often seen as a sign that selling pressure is easing. Cointelegraph said the current setup resembles the bottoming phase of the 2022 bear market, prompting speculation that Bitcoin may be nearing a cyclical low.

In July 2026, Bitcoin attempted to reclaim $60,000 as its four-hour RSI showed a key bullish divergence, leading some analysts to predict a possible price reversal. Traders have yet to reach a consensus, however. More cautious observers believe the cryptocurrency could still fall below its recent low before August 2026, making its ability to hold above $60,000 a key indicator to watch.

The Relative Strength Index, or RSI, measures buying and selling momentum. Material Indicators analyst Keith Alan said the 41.5 level on Bitcoin’s 14-week RSI repeatedly served as support during the bull markets of 2015–2017, 2020–2021 and January 2024–November 2025. Whether the indicator can reclaim that threshold is therefore an important gauge of whether Bitcoin has shifted from a bear market to a bull market.

CoinDesk reported on June 12, 2026, that Bitcoin had rebounded from below $60,000 and briefly climbed to $64,000, but its 14-week RSI remained below 41.5 and continued to fall. Keith Alan said bulls had yet to prove that the trend had reversed. If the RSI falls below the previous week’s 31.89 reading, the price could undergo a further correction, and investors may want to wait for a clear bottoming signal.

The relative strength index (RSI) measures price momentum. A 14-day reading below 30 typically indicates that Bitcoin has been oversold and selling pressure may be nearing exhaustion, though it does not mean the market has bottomed. During the March 2020 pandemic crash, the RSI fell to about 15.56 before Bitcoin rebounded roughly 50%, making the latest signal an important gauge for assessing a potential stabilization.

Cointelegraph reported on June 6, 2026, that Bitcoin’s daily RSI had dropped to about 15.5, its lowest since March 2020, after the cryptocurrency lost roughly 30% in the past month. If Bitcoin holds above $60,000, it could rebound to around $70,650. CoinDesk cited Monarq on June 3 as saying a break below $60,000 could send Bitcoin toward $45,000, while QCP Capital said it must establish itself above $67,000 to restore bullish confidence.

Bitcoin began to recover after emerging from its bear market in late 2022, when its stochastic RSI turned higher from oversold territory. Analyst Quantum Ascend used that cycle as a benchmark and said the momentum indicator was repeating its historical pattern, prompting market interest in whether BTC has finished forming a bottom.

Quantum Ascend's latest analysis said Bitcoin's current stochastic RSI pattern “nearly perfectly” matches the final stage of the late-2022 bear market, with highly similar oversold and rebound conditions. The analysis provided no BTC price target or specific amount. For now, it suggests only that a bottom may have formed, subject to confirmation from subsequent price action.