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.
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.