Bitcoin has surged massively higher over the past 10 days since bottoming on the OKEx news. The price of the leading cryptocurrency currently is $13,050, far above the lows of $11,200 that were triggered on the OKEx news.
Despite the <span class="wpg-tooltip-term-title">Coin</span></h3><div class="wpg-tooltip-content">A coin is a unit of digital value. When describing cryptocurrencies, they are built using the bitcoin technology and have no other value unlike tokens which have the potential of software being built with them.<p class="wpg-read-more"><a href="https://www.newsbtc.com/dictionary/coin/">» Read more</a><p></div>”>coin holding $13,000, analysts fear that a strong retracement is in the works. A number of analysts have noted that a number of indicators suggest BTC is overbought on a near term time frame.
Related Reading: Here’s Why Ethereum’s DeFi Market May Be Near A Bottom
Bitcoin Forms Pivotal Sell Signal
Bitcoin is forming a pivotal sell signal that has marked the highs of BTC rallies on multiple occasions.
One crypto-asset analyst shared the chart below, noting that the two-day Tom Demark Sequential has printed a “sell 9” candle. Such candles were seen in the summer, once before the July consolidation, in February, on the days of the highs in 2019. This, coupled with the Stochastic RSI reaching an overbought region, suggests a correction is imminent.
Chart of BTC's price action since the start of 2019 with an analysis of the stochastic RSI and the Tom Demark Sequential from crypto trader CryptoISO.
Source: BTCUSD from