Bitcoin Technical Analysis: PlanB Signals $400K Potential As RSI Approaches Bull Market Territory

RSI Technical Indicator Points to Possible Multi-Month Bitcoin Rally

Crypto market analyst PlanB, known for creating the influential Stock-to-Flow (S2F) model, has sparked renewed market interest with technical analysis suggesting Bitcoin (BTC) may be entering a significant bullish phase characterized by potential extended price appreciation over multiple months.

Key Technical Indicators:

• Bitcoin's Relative Strength Index (RSI) currently registers at 69, approaching the key bull market threshold
• Technical analysis shows RSI readings above 80 typically persist for 4+ months during major bull cycles
• Historical data correlates RSI > 80 periods with average 40%+ monthly price gains
• Following this pattern, BTC could theoretically advance from $104,000 to approximately $400,000 during a 4-month uptrend

Technical Analysis Behind the RSI Forecast

"Bitcoin's current RSI is 69. I expect it to exceed 80 for at least four consecutive months, just like during the 2021, 2017, and 2013 bull markets,"

PlanB stated on social media platform X.

The Relative Strength Index is a momentum oscillator measuring the speed and magnitude of price movements on a scale from 0 to 100. Readings above 70 traditionally signal strong bullish momentum, while sustained periods above 80 have historically coincided with Bitcoin's most dramatic price accelerations.

Projected Price Trajectory Based on Historical RSI Performance

With Bitcoin currently valued near $104,000, technical analysis of previous bull markets suggests a pattern of compounding monthly growth that could potentially unfold:

Month 1: $104,000 → ~$145,600 (40% increase)

Month 2: ~$145,600 → ~$203,840 (40% increase)

Month 3: ~$203,840 → ~$285,376 (40% increase)

Month 4: ~$285,376 → ~$399,526 (40% increase)

This technical projection aligns with PlanB's analysis suggesting a potential $400,000 price target based on RSI momentum patterns observed in previous bull market cycles.

Historical Context for RSI-Based Predictions

The predictive power of RSI as a momentum indicator has been validated during Bitcoin's previous major bull cycles. During the 2013, 2017, and 2021 bull markets, periods where RSI maintained readings above 80 for extended timeframes consistently corresponded with Bitcoin's strongest price performance phases.

Market data shows these technical conditions typically emerge following halving events, when Bitcoin's supply issuance rate is reduced by 50%, creating favorable supply-demand dynamics that can accelerate price discovery when combined with strong momentum indicators.