Bitcoin traders are closely monitoring the market as the Relative Strength Index (RSI) for BTC/USD reaches a three-year low, suggesting a potential short-term bounce. Bitcoin's price has declined 36%, from $126,000 to $80,500, pushing the RSI on higher timeframes into oversold territory. The weekly Bitcoin chart shows an RSI of 35, a level not seen since early 2023. Analysts indicate that this extreme RSI reading could either mark a near-term bottom or precede a further decline. Mister Crypto highlighted that the Stochastic RSI is at its most oversold level in the current cycle, which may signal an imminent short-term recovery.