BTC/USD Breakout Push RSI Back into Overbought Zone

BTC/USD breaks out of the range bound price action from last week to register a fresh yearly high ($57453), with the recent advance in Bitcoin pushing the Relative Strength Index (RSI) back into overbought territory.

BTC/USD Outlook

BTC/USD extends the advance from the start of the week to mark the largest two-day rally since December, and the move above 70 in the RSI is likely to be accompanied by a further advance in Bitcoin like the price action from earlier this month.

A break/close above the $57540 (78.6% Fibonacci retracement) to $57590 (78.6% Fibonacci extension) region brings the December 2021 high ($59102) on the radar, with the next area of interest coming in around $62780 (100% Fibonacci extension).

However, failure to break/close above the $57540 (78.6% Fibonacci retracement) to $57590 (78.6% Fibonacci extension) region may curb the recent breakout in BTC/USD, with a move below the towards the $53510 (61.8% Fibonacci extension) to $53630 (23.6% Fibonacci retracement) area bringing the $49920 (161.8% Fibonacci extension) to $50650 (50% Fibonacci extension) zone on the radar.

--- Written by David Song, Strategist