Bitcoin (BTC) RSI fell below 20 and MACD shows widest spread ever, signaling extreme volatility; BTC/Gold hits 4-year low | Flash News Detail | Blockchain.News
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12/11/2025 9:00:00 PM

Bitcoin (BTC) RSI fell below 20 and MACD shows widest spread ever, signaling extreme volatility; BTC/Gold hits 4-year low

Bitcoin (BTC) RSI fell below 20 and MACD shows widest spread ever, signaling extreme volatility; BTC/Gold hits 4-year low

According to @CryptoMichNL, Bitcoin’s RSI dropped below 20 during the recent crash, which the author highlights as a key signal of extreme stress in momentum, source: @CryptoMichNL, X, Dec 11, 2025. The author reports that BTC’s MACD has reached its widest spread ever across multiple timeframes, indicating this drawdown was the most volatile for that indicator, source: @CryptoMichNL, X, Dec 11, 2025. He notes the market is split between 4-year cycle bears and those viewing the correction as a prime entry, underscoring a sharp sentiment divergence, source: @CryptoMichNL, X, Dec 11, 2025. The author adds that the BTCUSD/Gold ratio is at its lowest level in nearly four years and the copper-to-gold ratio (CU/AU) is at a 15-year low, which he interprets as a business cycle trough, source: @CryptoMichNL, X, Dec 11, 2025. Based on these signals, the author believes the Bitcoin cycle is far from over and expects a strong upside breakout ahead, framing the pullback as a remarkable moment to step into the market, source: @CryptoMichNL, X, Dec 11, 2025.

Source

Analysis

Bitcoin traders are closely monitoring key technical indicators amid recent market volatility, as highlighted by prominent crypto analyst Michaël van de Poppe. In a recent analysis, he pointed out that the Relative Strength Index (RSI) for Bitcoin has plunged below 20 during the latest crash, signaling extreme oversold conditions. This development, combined with the Moving Average Convergence Divergence (MACD) showing its widest spread ever, underscores one of the most volatile corrections in Bitcoin's history across multiple timeframes. Such metrics provide crucial insights into the ongoing battle between bulls and bears, offering traders potential entry points for strategic positions in the BTC market.

Understanding Bitcoin's RSI and MACD Signals in the Recent Crash

The RSI dropping to under 20 is a rare event that often precedes significant rebounds in Bitcoin's price action. According to Michaël van de Poppe's observations on December 11, 2025, this level indicates severe selling pressure but also highlights a potential exhaustion point for bearish momentum. Historically, when Bitcoin's RSI hits such lows, it has frequently marked the bottom of corrections, paving the way for bullish reversals. Traders should watch for divergence patterns where the price makes lower lows, but the RSI begins to form higher lows, which could signal an impending uptrend. In the context of the 4-year cycle, some market participants argue this is the start of a prolonged bear market, while others see it as an optimal buying opportunity. The MACD's record-wide spread further amplifies this volatility, suggesting that the recent crash was not just a minor dip but a profound market reset. For those analyzing BTCUSD pairs, integrating these indicators with volume data is essential; lower trading volumes during the RSI trough could confirm capitulation, setting the stage for accumulation by smart money investors.

Market Sentiment Split: Bulls vs. Bears in the Bitcoin Cycle

The divide in market sentiment is stark, with 4-year cycle enthusiasts predicting extended downside, while contrarian views emphasize the attractiveness of current levels for entry. Michaël van de Poppe leans towards the latter, noting that the BTCUSD/GOLD ratio has reached its lowest point in nearly four years, and the CU/AU ratio (copper to gold) is at 15-year lows. These ratios are indicative of broader economic cycles being at their nadir, suggesting that Bitcoin could be poised for a strong upward breakout. From a trading perspective, this implies monitoring support levels around recent lows, potentially in the $50,000 to $60,000 range based on historical patterns, though exact prices should be verified with current charts. Institutional flows, such as those from Bitcoin ETFs, could catalyze the next move, especially if on-chain metrics like active addresses and transaction volumes begin to spike. Traders might consider dollar-cost averaging strategies here, allocating positions in BTC against stablecoins to mitigate risks from further volatility.

Looking ahead, the analyst's outlook remains optimistic, asserting that the cycle is far from over and anticipating a robust Bitcoin rally in the coming period. This perspective is grounded in the remarkable correction's timing, which aligns with oversold conditions across key indicators. For stock market correlations, Bitcoin's performance often mirrors risk-on sentiments in equities; a rebound in tech stocks could bolster BTC's recovery. Trading opportunities abound in pairs like BTC/ETH or BTC against altcoins, where relative strength could yield profitable trades. Risk management is key—setting stop-losses below recent lows and targeting resistance levels derived from Fibonacci retracements. Overall, this analysis encourages a data-driven approach, focusing on RSI recoveries above 30 as initial bullish confirmations and MACD crossovers for momentum shifts. By staying attuned to these signals, traders can navigate the current market status effectively, capitalizing on what might be one of the best entry moments in recent years.

Trading Strategies Amid Bitcoin's Volatile Correction

To optimize trading in this environment, consider scalping opportunities on lower timeframes where RSI oversold bounces occur frequently. For longer-term holders, the emphasis should be on accumulating during these dips, supported by the historical precedent of post-crash rallies. Market indicators like the fear and greed index, if dipping into extreme fear, align with van de Poppe's view of undervaluation. Cross-market analysis reveals that Bitcoin's correlation with gold and commodities at multi-year lows could signal a pivot towards inflationary hedges, boosting BTC demand. In terms of specific data, the crash's volatility, as measured by the MACD spread on December 11, 2025, surpasses previous records, implying a potential volatility contraction ahead, which often precedes trending moves. Traders should track on-chain metrics such as whale activity and exchange inflows for early signs of reversal. Ultimately, while the future remains uncertain, the confluence of these factors points to a bullish resumption, urging proactive positioning in the cryptocurrency market.

Michaël van de Poppe

@CryptoMichNL

Macro-Economics, Value Based Investing & Trading || Crypto & Bitcoin Enthusiast