These bearish divergences in RSI printed on BTCUSD and ETHUSD before the market turned. In hindsight it’s very easy to spot, but maybe less so in the moment.
So in order to develop a system in which we could spot this in the future; any time a higher high is printed, check the corresponding RSI level from the previous high (the now most recent, now second highest high).
By the numbers:
BTCUSD @ $66876
RSI @ 77.96
BTCUSD @ $68924
RSI @ 67.97
Now already that should catch our attention. If we are playing conservative, we reduce exposure. If we are DCAing, we save cash. If we are completely degens in DeFi and ignoring BTCUSD, we strap in for sky is falling tweets.
So in order to develop a system in which we could spot this in the future; any time a higher high is printed, check the corresponding RSI level from the previous high (the now most recent, now second highest high).
By the numbers:
BTCUSD @ $66876
RSI @ 77.96
BTCUSD @ $68924
RSI @ 67.97
Now already that should catch our attention. If we are playing conservative, we reduce exposure. If we are DCAing, we save cash. If we are completely degens in DeFi and ignoring BTCUSD, we strap in for sky is falling tweets.
