Blue lines- bearish RSI divergence
Green line- support trend line
Bitcoin is trading at fresh daily lows around $21,640. We warned traders on time as the bearish RSI divergence provided a sign of weakness. Price eventually broke below the upward sloping support trend line at $22,775 confirming the reversal. Price has started making lower lows and lower highs. Bitcoin has finished the upward move from the 2022 lows to $24,258. We believe this is the time for a pull back. Bitcoin is vulnerable to more downside. The RSI just reached the oversold level. There is no bullish divergence.
