Is RSI overbought/oversold really accurate?
Many beginner friends see RSI above 70 and shout “overbought,” and see it below 30 and shout “oversold.” The result is often that the market teaches them a hard lesson.
$CC today rose 9.84%, and the price reached 0.12248 USDT. If you look at the RSI, it may already be approaching or even exceeding 70—according to textbooks, it should be due for a pullback. But where is the market’s standard script?
RSI is more like a mood thermometer, not a precise predictor. It tells you how hot market sentiment is, but it doesn’t guarantee that things will cool down right away. Like a scorching summer day—it doesn’t mean it will rain the next second.
To use RSI, you need to look at the trend and the broader context. In a strong uptrend, “overbought” can keep getting more overbought; in a ranging market, overbought/oversold levels have more reference value.
Remember: indicators are just for assistance—the market is the boss. Don’t treat RSI like scripture, and don’t completely ignore it either. Think of it as your co-pilot, not the steering wheel.
$CC #数字货币 #Web3 #spot
Many beginner friends see RSI above 70 and shout “overbought,” and see it below 30 and shout “oversold.” The result is often that the market teaches them a hard lesson.
$CC today rose 9.84%, and the price reached 0.12248 USDT. If you look at the RSI, it may already be approaching or even exceeding 70—according to textbooks, it should be due for a pullback. But where is the market’s standard script?
RSI is more like a mood thermometer, not a precise predictor. It tells you how hot market sentiment is, but it doesn’t guarantee that things will cool down right away. Like a scorching summer day—it doesn’t mean it will rain the next second.
To use RSI, you need to look at the trend and the broader context. In a strong uptrend, “overbought” can keep getting more overbought; in a ranging market, overbought/oversold levels have more reference value.
Remember: indicators are just for assistance—the market is the boss. Don’t treat RSI like scripture, and don’t completely ignore it either. Think of it as your co-pilot, not the steering wheel.
$CC #数字货币 #Web3 #spot