As the US presidential election looms, Matrixport’s latest analysis shows Bitcoin holding steady, offering an unusual chance for traders to capitalize on its neutral momentum.
Bitcoin’s “Sweet Spot” for Traders
Currently, Bitcoin’s 21-day RSI sits at a balanced 56%, well below the overbought threshold. This neutral momentum means that Bitcoin isn’t overbought or oversold, a sign of reduced volatility just before the election. For traders, this spells a golden opportunity to engage with a calmer market, with potentially lower risk premiums and less price turbulence post-election.
Past Swings, Present Calm
Matrixport highlights that, in contrast to Bitcoin’s volatile swings earlier this year—like the bearish drop in March with RSI at 80% and the strong rally in July-August when RSI fell to 25%—Bitcoin’s current stability is a prime setup for strategic moves.
Strategic Play: Selling Volatility
Matrixport suggests that selling volatility could be a winning strategy in the current market. With Bitcoin’s stability holding, now might be the time for traders to take advantage of the calm before any election-induced storm.
