Bitcoin's Oversold Signal vs Nasdaq Points to Long-Term Crypto Outperformance

Raoul Pal, co-founder of Real Vision and macro investor, recently pointed out that Bitcoin has entered an oversold zone relative to the Nasdaq. This means that Bitcoin's price has fallen significantly more than tech stocks, statistically below its average relationship.

According to Pal, such extremes have historically preceded strong rebounds, as seen in recent trading sessions. The relative strength indicator (RSI) comparing Bitcoin to the Nasdaq measures how Bitcoin performs against a basket of major technology stocks.

Pal emphasized that technical signals alone should not dictate investment decisions, and broader macroeconomic factors remain critical. He believes that digital assets represent a secular trend driven by monetary debasement and technological adoption.