Bitcoin's Mixed Technical Signals Spark Debate Over Uptrend Potential

Bitcoin's recent surge above $80,000 has sparked debate among traders over the significance of technical momentum indicators. The weekly Relative Strength Index (RSI) is flashing a bullish divergence pattern that previously preceded major trend reversals, while the daily RSI is near its most 'overbought' levels since November 2024.

The key question for market participants is whether last week's sharp rebound can mature into a sustained uptrend or fade into another cycle of volatility. Weekly RSI stands at 58.3, repeating a pattern that has historically appeared before major cycle inflections. Daily RSI, on the other hand, is elevated near 82.93, the highest level since November 2024.

Jamie Coutts, chief crypto analyst at Real Vision, emphasized that weekly bullish divergences tend to carry more practical weight because they have been followed by notable upside developments in the past. This has encouraged some traders to revisit whether the current bearish phase is truly still intact.