Traders anticipate a short-term rebound in Bitcoin, as the RSI indicator is in a highly "oversold" state.

BlockBeats News, December 19th, according to Cointelegraph's report, traders expect Bitcoin to experience a short-term rebound. Data shows that the Bitcoin's relative strength index (RSI) is in an extremely "oversold" state, with the indicator dropping to its lowest level in almost three years.

Bitcoin fell 36% from its all-time high of $126,000 to $80,500, significantly impacting the high-timeframe RSI indicator. On the weekly chart, the RSI dropped from a local high of 64 in September to the current 35. The last time this level was seen was in January 2023 when Bitcoin was trading around $15,500-$17,000. Analyst Jelle stated: "Historically, when the weekly RSI touches this level, it is worth paying attention." He added: "Either we are close to the bottom, or we will soon experience a greater downward movement."

In a Friday X post, Mister Crypto pointed out that Bitcoin's Stochastic RSI shows its oversold condition is the deepest throughout the entire period. He mentioned, "The likelihood of a short-term rebound is very high."