Crypto analyst PlanB is predicting a massive surge in Bitcoin’s price, potentially reaching half a million dollars. This prediction is based on an analysis of the Relative Strength Index (RSI).
RSI Suggests Continued Bull Market
PlanB, in a recent YouTube video, highlighted the monthly RSI indicator. The RSI measures whether an asset is overbought or oversold. Readings above 70 typically suggest an asset is overbought, while readings below 30 indicate it’s oversold. Currently, Bitcoin’s RSI sits around 66, near its average of 65. PlanB believes this suggests Bitcoin will remain above this average for at least a year, leading to new all-time highs.
A $400,000 Bitcoin?
PlanB’s analysis suggests that the RSI could hit 80 or higher for several months, mirroring previous bull markets. He anticipates at least four months with an RSI above 80. Historically, these high RSI periods have been associated with monthly returns exceeding 40%. Based on this, PlanB projects that if Bitcoin maintains its current price of around $100,000, four months of 40% gains could push the price towards $400,000.
Current Bitcoin Price and Disclaimer
At the time of writing, Bitcoin is trading at approximately $102,558, slightly down for the day. It’s important to remember that this is speculative analysis and not financial advice. Any investment decisions should be made after thorough research and consideration of your own risk tolerance.