¡📊💡 How to use the RSI and what is it for in cryptocurrency trading?
👀 The RSI (Relative Strength Index) is one of the most powerful indicators in technical analysis 📉📈. It tells you when a crypto may be overbought or oversold! 🧠🚨
Here I explain the top 6 ways to use it like a pro on Binance 🧵👇
1️⃣ Basic RSI
🟢 Buy when the RSI falls below 30 (oversold)
🔴 Sell when it rises above 70 (overbought)
🔁 Simple and effective to start
2️⃣ Customized RSI
⚙️ Adjust the levels to 20/80 or 40/60 based on the market
📌 Ideal in strong trends to avoid false signals
3️⃣ Multi-Timeframe RSI
⏱️ Compare the RSI on 1H, 4H, and 1D timeframes
📊 If all are oversold = Powerful entry signal!
4️⃣ RSI Divergences
📉 Price drops + RSI rises = 📈 Possible bullish reversal
📈 Price rises + RSI drops = ⚠️ Be cautious, possible drop
🎯 Detects movements before the market
5️⃣ RSI + Other Indicators
🔗 Combine it with EMAs, MACD, supports/resistances
🔥 Oversold RSI + support zone = Entry 🔓
🚨 Overbought RSI + resistance = Smart sell
6️⃣ Pro RSI + Liquidity Zones
👁️🗨️ RSI applied with institutional vision
🌊 Detects market traps and liquidity zones
🧙♂️ Advanced level for those who master technical analysis
🚀 In summary:
✅ The RSI helps you read the pulse of the market
✅ Detects buying and selling zones with precision
✅ It is even more powerful if combined with other indicators
💥 Master the RSI and make it your best ally on Binance!
📲 Do you already use it? What level are you at from 1 to 6?
