Bitcoin Price Defies Oversold Conditions to Hit 15-Month Low

Bitcoin tumbled to 15-month lows earlier today, dashing hopes of a rally signaled by current extreme oversold conditions.

BTC was trapped in a five-day-long narrowing price range 24 hours ago and showed signs that it might break upwards with a strong move toward the crucial resistance at $3,633.

These bullish expectations were based largely on a premise that the sellers are facing exhaustion, as indicated by the 14-week relative strength index, having engineered a 49 percent price drop in the last four weeks.

BTC dived out of the narrowing price range in U.S. trading hours yesterday, killing the prospects of a short-term inverted hammer bullish reversal above $3,633.

BTC's persistent failure to produce a notable price bounce despite extreme oversold conditions indicates that the bearish sentiment is very strong.

BTC risks falling to the psychological level of $3,000.

As seen above, BTC has charted lower price highs along the downward sloping 10-day exponential moving average.

Notably, BTC persistently failed to close above that EMA hurdle at the end of the last month.

The 14-week RSI remains below 30.00, marking oversold conditions.

Recent price action indicates that the market is paying little heed to the indicator.