Bitcoin’s Four-Hour Relative Strength Index (RSI) Flips to ‘Overbought,’ as BTC Price Retracement Signage

The following are key points.

• Bitcoin price indicator flips to $119.500. “overbought.”

• The traders are looking for a retest of support to confirm the latest recovery, which has reached 10% in just a few days.

• IBIT has risen to the 20th ETF by assets in just three days.

BitcoinBTCAs price metrics change, ) could be ready to pull back and test support on a shorter-term basis. “overbought.”

The traders warned on Thursday that BTC/USD might fall lower after it reached six-week highs over $119,000.

RSI wants BTC prices to have a rest

Bitcoin is up almost 10% this week after bulls have staged a comeback. echoing the upside in gold.

Data from Bitstamp shows that Bitstamp has surpassed $119,500 in sales. Cointelegraph Markets Pro You can also find out more about the following: TradingViewMarket participants still see the rally cooling down before further progress is possible. It is because price indicators are becoming too hot.

“Looking at this further, pullback/retest makes sense as shown by LTFs,” Roman the trader wrote in an X post Topics to consider 

“Everything is overbought but no signs of initial weakness. Simple breakout & retest.”

The relative strength index is one of the many evidences that support such an action.RSINow firmly established “overbought” Nearly 90/100. The four-hour trading readings are the highest since July when BTC/USD traded for the first time above $123,000.

RSI stands for RSI-Rapid Speed Index. classic leading indicatorOverbought prices on shorter time frames can be a precursor to a turnaround in the market. 

On both the weekly and the daily charts, the RSI has remained constant. “overbought” During the last phases of bull markets past,

“Volume, rsi, & macd look good for continuation to 124k over next few days,” Roman summarised

Bitcoin ETFs underscore bullish momentum

Continuing on RSI, Caleb Franzen, creator of financial research resource Cubic Analytics, spied a bullish divergence playing out on Bitcoin versus the S&P 500 on Wednesday. 

Related: Bitcoin pushes for $118K as analysis calls US gov’t shutdown ‘non-event’

It was based on an analysis of BlackRock’s iShares Bitcoin Trust IBIT, the US’s largest exchange-traded funds (ETFs) for spot Bitcoin.

Bullish RSI divergence for Bitcoin relative to the S&P 500 (IBIT/SPY). pic.twitter.com/hGH2XZoPWc

— Caleb Franzen (@CalebFranzen) October 1, 2025

Farside Investors (a UK investment company) confirmed this week that the US ETF cohort saw net inflows totaling more than $1.6 Billion. IBIT contributed 600 million dollars of this total.

Eric Balchunas is a Bloomberg Intelligence ETF analyst who confirmed that it had entered the 20 biggest ETFs in terms of assets.

“Someone asked me how long till Top 10. It is $50b away. If the last 12mo are repeated it may not take long. It took in $40b last 12mo and went up 85%,” He revealed On X. 

“That said, those other ETFs growing too so i don’t know. If forced i’d set the over/under for Xmas 2026.”

This article contains no investment recommendations or advice. Risk is inherent in every investment decision and trade. The reader should always do research prior to making a final decision.