Bitcoin Bounce Ignites Talk of Another Comeback

“Glaring out on the daily chart, the relative strength index (RSI), used to judge the momentum of a trend, has formed a bullish divergence (Aug. 8–14), whereby prices moved lower, but the RSI moved higher creating a ‘divergence’ from the current bearish setup,” according to CoinDesk.

A poll conducted by Gallup-Wells Fargo revealed that 72% of U.S. investors have no interest in ever buying Bitcoin, while 2% currently own the cryptocurrency and 26% are on the fence.

“A monthly low slightly higher than the yearly low of $5,755 reveals the bears are becoming exhausted in their attempt to drive down prices with declining volume apparent since the middle of May,” reports CoinDesk. “It is also worth noting that the monthly RSI is at its lowest since October 1, 2015 – a level that may have potential to trigger a buying frenzy, reversing the bearish trend seen since Jan 1. A drop below recent monthly lows would expose bitcoin to the yearly low of $5,755 as it fails to cement a higher high.”

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