BayFirst Financial's 15min chart shows RSI overbought, KDJ death cross.

BayFirst Financial's 15-minute chart has triggered an RSI Overbought signal and a KDJ Death Cross at 08/13/2025 12:00, indicating that the stock price has risen too quickly and surpassed its fundamental support. This momentum shift towards the downside suggests that the stock price may continue to decline further.

Title: BayFirst Financial's 15-Minute Chart Indicates RSI Overbought and KDJ Death Cross

BayFirst Financial Corp. (NASDAQ: BAFN) has seen significant changes in its stock price dynamics, with the 15-minute chart indicating an RSI Overbought signal and a KDJ Death Cross on August 13, 2025, at 12:00 PM. These signals suggest that the stock price has risen too quickly, surpassing its fundamental support level, and may continue to decline further.

The Relative Strength Index (RSI) reached overbought levels, indicating that the stock price has experienced a rapid increase and potentially exceeded its fundamental value support. The KDJ indicator, with the KDJ Death Cross, signals a potential reversal in the stock's upward trend. This momentum shift towards the downside is a concern for investors, as it suggests that the stock price may continue to decline.

BayFirst Financial has been undergoing strategic changes, including the discontinuation of its Bolt SBA 7(a) loan program and a substantial workforce reduction. These changes are part of a broader restructuring effort aimed at repositioning the company for long-term growth. The company's actions are a response to financial pressures, and the stock price dynamics indicate that the market is reacting to these changes.

The company has announced the immediate discontinuation of its Bolt SBA 7(a) loan program as part of a strategic restructuring. This includes a 17% workforce reduction (51 positions) that will result in $6 million in annual cost savings. The company will also record a restructuring charge in Q3 2025. BayFirst aims to refocus on its community banking activities across its twelve Tampa Bay centers while strengthening its core SBA 7(a) offerings.

The discontinuation of the Bolt SBA loan program signals financial distress, with workforce reductions, dividend suspension, and loan write-downs. The company's decision to immediately discontinue its Bolt SBA 7(a) loan program represents a significant strategic pivot that suggests underlying performance issues. The company is cutting 51 positions (17% of its workforce), including 26 directly from the Bolt program, projecting annual cost savings of $6 million. This substantial workforce reduction indicates the program was likely a significant drain on resources.

The financial implications of these changes are significant for investors. BayFirst has already recorded charge-offs and fair value write-downs on high-risk SBA loans in Q2 2025, with additional restructuring charges expected in Q3. The magnitude of these financial impacts appears serious enough to warrant suspending dividend payments and board fees, directly affecting shareholder returns. The company's plan to potentially sell both the Bolt loan balances and origination platform to third parties suggests management sees limited recovery potential in managing these assets internally.

The announcement frames these changes as part of a "comprehensive strategic review" to reduce risk and position for long-term growth, but the immediate actions—workforce reduction, dividend suspension, and write-downs—point to addressing urgent financial pressures rather than proactive repositioning. BayFirst appears to be refocusing on its core community banking operations in Florida markets, leveraging its existing twelve banking centers to pursue more traditional, potentially lower-risk growth opportunities.

References:
[1] https://www.ainvest.com/news/bayfirst-financial-15min-chart-shows-rsi-oversold-kdj-golden-cross-2508/
[2] https://www.stocktitan.net/news/BAFN/bay-first-discontinues-bolt-sba-7-a-loan-3pzl4uu7phjn.html
[3] https://finance.yahoo.com/news/bayfirst-financial-corp-bafn-q2-071827715.html