Bitcoin News Today: Bitcoin RSI projected above 80 for months signals extended bull market – PlanB

Bitcoin’s Relative Strength Index (RSI) may remain in overbought territory for months, signaling a potential extended bull market, according to analysis from PlanB, the creator of the Stock-to-Flow model. The RSI, a technical indicator measuring price momentum, is currently near 75 and projected to stay above 80—a level typically associated with overbought conditions—for an extended period. This observation challenges conventional market assumptions, as historical data from previous bull cycles shows similar patterns preceding Bitcoin’s most significant price surges [1].

PlanB’s analysis draws on Bitcoin’s historical RSI trends during major bull markets. For instance, during the 2011 parabolic rally, Bitcoin’s RSI peaked near 95 and remained above 70 for three months. In 2013, two distinct RSI peaks around 95 persisted for four to five months, driving substantial price growth. The 2017 bull run saw the RSI stay elevated for six months, while the 2021 cycle featured RSI levels near 90 for five to six months. These episodes highlight a recurring theme: Bitcoin’s RSI can remain overbought for prolonged periods without immediate corrections, reflecting sustained buying pressure and strong market demand [1].

Traditional interpretations of the RSI suggest that overbought conditions (above 70) often precede corrections, but Bitcoin’s behavior diverges. PlanB argues that in bull cycles, a high RSI frequently indicates robust momentum rather than weakness. This insight is critical for investors, as it suggests that Bitcoin’s market dynamics defy conventional norms. For example, even during overbought phases, Bitcoin’s corrections—when they eventually occur—tend to be less severe or delayed compared to traditional assets [1].

Investors navigating this environment must adapt their strategies. Sustained high RSI levels often correlate with continued price gains and heightened market enthusiasm, attracting new capital. However, volatility risks persist, necessitating disciplined risk management. Techniques such as dollar-cost averaging and setting profit-taking targets can help mitigate timing risks. Additionally, monitoring complementary indicators—such as on-chain metrics, funding rates, and macroeconomic factors—provides a more comprehensive view of market conditions [1].

The broader implications of PlanB’s analysis are significant. If Bitcoin’s RSI remains overbought for months, it could signal a continuation of strong market dynamics, potentially extending the current bull phase. This aligns with historical precedents where prolonged overbought conditions coincided with major price milestones. For institutional and retail investors alike, understanding these patterns is crucial for aligning strategies with Bitcoin’s unique market cycles [1].

Source: [1] [PlanB Suggests Bitcoin RSI Could Remain Overbought for Months, Indicating Possible Extended Bull Market July 24, 2025] [https://en.coinotag.com/planb-suggests-bitcoin-rsi-could-remain-overbought-for-months-indicating-possible-extended-bull-market/]