This week, the cryptocurrency market has been subjected to harsh selling waves. Following this crash, cryptocurrencies are currently exhibiting bearish technical indicators such as a weak relative strength index (RSI). However, crypto analyst Vinicius Barbosa points out the oversold status of two popular cryptocurrencies. The analyst considers this a potential buy signal.
CoinGlass data gives a buy signal for 2 cryptocurrencies!
cryptokoin.comAs you follow from , the crypto market continues to lose blood. Long position investors have lost $400 million since April 30. Additionally, $250 billion of capital left the market. The crash affected Bitcoin (BTC) and Ethereum (ETH) traders the most. However, all cryptocurrencies suffered meaningful losses.
Previously, crypto traders recorded a total liquidation of $100 million in a 4-hour period. This started the big sale. As a result, the average RSI has fallen into a weak state below the 34 index point. Thus, it indicated an overall downward momentum. In contrast, some investors may panic sell, while others may see a buy signal opportunity for cryptocurrencies with discounted prices. In particular, Bitcoin Cash (BCH) and Dogecoin (DOGE) stand out as the two most oversold cryptocurrencies on CoinGlass’ 4-hour chart.
Best-selling cryptocurrency: Bitcoin Cash (BCH)
First, Bitcoin Cash has a 4-hour relative strength index of 21.07. This means that it was the most sold cryptocurrency at press time. BCH has a weak 24-hour RSI of 33.37 but is holding a neutral 52.4 on the weekly timeframe. At the time of this writing, BCH was trading at $406.2, down 1.41% in the last four hours.
Bitcoin Cash had previously given 2 more buy signals due to high negative funding rates and short-term liquidations. Recently BTC fees reached record highs of over $100 per transaction. For this reason, the famous Bitcoin rival has emerged as an alternative.
A buy signal has arrived for the popular meme coin Dogecoin (DOGE)
Meanwhile, Dogecoin has the second highest oversold signal among the top 100 cryptocurrencies on the 4-hour time frame. At the time of writing, DOGE was trading at $0.12 with an RSI of 23.9. Like Bitcoin Cash, DOGE has a neutral weekly and daily RSI of 50.03 and a weak 31.1 respectively.
In particular, having an oversold situation does not guarantee short-term positive price movement. However, it gives an idea for investors. For now, cryptocurrency investors are waiting for a leading signal that may come from macroeconomic decisions from the Fed’s interest rate decision.
The opinions and predictions in the article belong to the analyst and are definitely not investment advice. cryptokoin.com We strongly recommend that you do your own research before investing.
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