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04 / RSI divergence

A lower price low with a higher RSI low

A lower price low with a higher RSI low on Bitcoin daily. Educational only.

Educational examples — not a trade Josh took, not a signal

A glass tray holding a blue-to-teal wave, with a simple unlabeled curve floating above it.
Illustration of the idea, not a market chart and not a result.

BTC/USD · daily · 2025-02-20 to 2025-03-28. Data: Kraken public OHLC API. Fills, fees and slippage are not known from these bars. Hypothetical study figures on this page are untested.

BTC/USD daily educational chart, 2025-02-20 to 2025-03-28.
BTC/USD daily from 2025-02-20 to 2025-03-28. Educational example, not a signal. Source: Kraken public OHLC API.

The full write-up, including the hypothetical study logic and what happened afterwards, is on the technical examples page. The published facts for this chart are:

Published facts for this example
low1.date2025-02-28
low1.l78219
low1.c84309.2
low1.rsi25.89095387931239
low2.date2025-03-11
low2.l76615.7
low2.c82900
low2.rsi40.414410915728105
mar13.date2025-03-13
mar13.l79930.7
mar13.c81112.3
laterHigh.date2025-03-24
laterHigh.h88750
laterHigh.c87505.3
mar31.date2025-03-31
mar31.l81270.3
mar31.c82523
Josh thinking, with a hand on his chin.

Josh explains

A walkthrough of this example

This is narration of the published facts on this page. It does not add new numbers, and it is not a signal.

  1. Josh pointing as he explains an idea.

    Step 1

    What the chart is showing

    Bitcoin daily: a 28 February 2025 low of $78,219.00 with a published RSI near 25.9, then an 11 March low of $76,615.70 — a lower price low — with a higher RSI near 40.4. That’s the textbook “lower low, higher oscillator low” picture in this window.

  2. Josh explaining with open hands.

    Step 2

    How to read it as a student

    Divergence is a relationship between price and an indicator on these bars. It does not make a turn due. Look at what price actually did after the second low, and remember RSI is a derived series, not a second market.

  3. Josh holding up a caution hand.

    Step 3

    What to keep honest

    Indicators can stay “diverged” while price keeps going. This example is education, not a signal, and not a trade I took. No implied edge.

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Education only, not financial advice. This is a personal record of one trader’s decisions, including the mistakes. Trading crypto carries a real risk of losing money. Full disclaimer.