Journalist
Posted:
- There is a difference in the RSI data from Santiment and TradingView.
- Their implications remain bullish, despite the small differences.
In a recent post on X (formerly Twitter), Santiment noted that Bitcoin’s [BTC] prices had a good reason to bounce higher. While AMBCrypto’s analysis agreed with this finding, there were some interesting nuances to it.
The rise past the $43k resistance on December 20 was an encouraging sign of bullish strength. A recent AMBCrypto report highlighted that miner revenues were high, and rising transaction costs contributed to this.
A closer look at the statistics
AMBCrypto looked at Santiment and noticed that social volume decreased this weekend. This has been a consistent trend for months, so it wasn’t a surprise.
The number of addresses holding more than 100 BTC increased from 15941 on December 19 to 15956 on December 20.
Source: Santiment
The age-consumed metric peaked on December 18, reflecting a possible increase in selling pressure. There have been no major increases since then.
As the Santiment post highlighted, the RSI fell to 42.09 on December 19, before bouncing back to 50.38 on December 20.
Still, it should be noted that Santiment’s data is calculated slightly differently than the go-to technical analysis platform, TradingView.
On TradingView, the RSI on the one-day chart for the spot BTC market on Binance was at 57 on December 19. On December 17, it was at 53.8, which was nowhere near the value of 42.09 we saw on Santiment sawing.
Source: BTC/USDT on TradingView
Although the RSI formula is the same, slight variations in rounding can lead to a discrepancy. Due to differences in time zones, different daily closures may also be used.
Additionally, Santiment could be aggregating the data in a different way, while the chart above is based solely on data from Binance.
On the TradingView chart, the RSI was at 45 on October 12, but has not reached that level since. A drop below 50 would be an early sign that momentum is starting to shift in favor of the sellers.
Does this mean Bitcoin might not be ready for a leap?
What both charts agreed on was that Bitcoin continued to have a bullish bias. The RSI was above the neutral 50, meaning the buyers were still in control at the time of writing, and the technical structure on the one-day chart remained in favor of the bulls.
Source: Mint glass
Read Bitcoin’s [BTC] Price forecast 2023-24
Already above the USD 43,000 resistance, BTC struggled to break above the USD 44,25,000 local resistance. AMBCrypto noted that the Open Interest has been trending higher since December 19, a sign that sentiment was swinging bullish again.
It is expected that a move past local resistance at $44.2k would trigger a new influx of capital into the futures markets and support further gains.