BNB and ORDI Show Overbought Signals and Potential Correction
The crypto market is currently undergoing changes influenced by broader economic factors. The latest data shows a surprising increase in job growth in the US, far exceeding expectations.
Launching from finbold.com, this shows that the economy is able to survive with higher interest rates. So, there is a possibility of reduced interest rates. Of course, this has an impact on the flow of money to riskier investments such as crypto.
This estimate is seen from the 24-hour relative strength index (RSI) heatmap data from CoinGlass on June 7. Additionally, the average daily RSI is 54.70, indicating a neutral market. However, cryptocurrencies that deviate greatly from this average, whether overbought or oversold, will likely revert back to the average.
1. Binance Coin (BNB)
Currently, Binance Coin (BNB) is priced at US$ 700.30 with a slight price decrease of 0.39 percent. A look at the RSI values for BNB over various timeframes shows that the coin is overbought, especially in the last 24 hours.
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The reason is, the 24-hour RSI for BNB is 75.56, which exceeds the overbought threshold of 70. This indicates strong buying pressure that may not last long.
The 1-week RSI of 82.52 indicates prolonged overbought conditions, indicating a potential price correction. BNB recently hit an all-time high price.
2. Order (ORDI)
ORDI, the first token minted using the BRC-20 standard, also saw significant price movement. Currently, ORDI is valued at US$ 62,888 which represents an increase of 8 percent.
The 24-hour RSI for ORDI is 74.65, and has seen a surge of nearly 17 percent. The figure also reached just below US$ 57.5, which was the highest price since early April.
