Traders View Non-AMP

Read The Guide on Relative Strength Index (RSI)

Published by
Qadir AK

Relative Strength Index (RSI)

The Relative Strength Index (RSI) is a well-versed momentum based oscillator which is used to measure the speed (velocity) as well as the change (magnitude) of directional price movements. Essentially RSI is a viable indicator of price movements.

RSI operates between a scale of 0 and 100 and the closer RSI is to 0, the weaker the momentum is for price movements and if the RSI is closer to 100 indicates a period of stronger momentum.

What To Look For?

Overbought and Oversold Markets

Any number above 70 considers as overbought and any number below 30 considers as oversold. An RSI between 30 and 70 is considerably neutral and an RSI around 50 signifies “no trend.”

Divergence

  • Bullish RSI Divergence – When price makes a new low but RSI makes a higher low.
  • Bearish RSI Divergence – When price makes a new high but RSI makes a lower high.

Most traders believe that Bearish Divergence creates a selling opportunity while Bullish Divergence creates a buying opportunity.

Reversals

Positive Reversal occurs when price makes a higher low while RSI makes a lower low and price proceeds to rise. Negative Reversal occurs when price makes a lower high while RSI makes a higher high and the price proceeds to fall.

You can subscribe to our newsletter for more latest updates

Qadir AK

Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

Trust with CoinPedia:

CoinPedia has been delivering accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by our expert panel of analysts and journalists, following strict Editorial Guidelines based on E-E-A-T (Experience, Expertise, Authoritativeness, Trustworthiness). Every article is fact-checked against reputable sources to ensure accuracy, transparency, and reliability. Our review policy guarantees unbiased evaluations when recommending exchanges, platforms, or tools. We strive to provide timely updates about everything crypto & blockchain, right from startups to industry majors.

Investment Disclaimer:

All opinions and insights shared represent the author's own views on current market conditions. Please do your own research before making investment decisions. Neither the writer nor the publication assumes responsibility for your financial choices.

Sponsored and Advertisements:

Sponsored content and affiliate links may appear on our site. Advertisements are marked clearly, and our editorial content remains entirely independent from our ad partners.

Recent Posts

Chainlink’s Defining Moment—Can LINK Price Smash $25 and Trigger a Major Bull Run to $50?

Chainlink (LINK) price is gaining momentum as Bitcoin’s surge to a new all-time high fuels…

October 7, 2025

Why is Crypto Market Up Today? Ethereum Eyes New ATH, Altcoins Follow

The global cryptocurrency market is climbing once again, with total market capitalization rising 2.23% to…

October 6, 2025

Can XRP Price Really Hit $100? How, Why, and When Explained

The idea of XRP reaching $100 might sound far-fetched, but behind the bold prediction lies…

October 6, 2025

Not Aster or HYPE, PDP Leads the Top Altcoin Predictions for Uptober

As the calendar turns to October, a month often associated with bullish market reversals, investors…

October 6, 2025

Trump Claims “Virtually No Inflation” as Markets Hit Record Highs

Stock markets and crypto are grabbing attention lately, with stocks and Bitcoin hitting new highs…

October 6, 2025

Can Solana Price Hit $300 as ETFs and On-Chain Growth Surge?

The Solana price has continued its remarkable climb into Q4 2025, as network performance, ETF…

October 6, 2025