Bitcoin is sending two different signals across timeframes. The daily chart shows a breakout above a long downtrend line with stronger volume, while the monthly RSI chart suggests the broader cycle may still need a deeper reset before a final bottom forms.
Bitcoin Breaks Daily Downtrend Line as Volume Picks Up
This daily BTCUSD chart shows Bitcoin pushing above a long descending trendline that had capped price since late 2025. SuperBro says the breakout looks decisive because it comes with stronger volume, and he notes that in 2022 a similar break did not arrive until October.
BTCUSD Daily Chart With Linear Downtrend Breakout. Source: SuperBro on X
The chart supports that view. Bitcoin spent months trading under a clear linear downtrend, with lower highs forming along the white resistance line. Now price has moved through that trendline near the $72,000 to $74,000 area. At the same time, volume has increased, which gives the breakout more weight than a quiet move above resistance.
That matters because trendline breaks on rising volume often signal a shift in market control. Sellers had defended this slope for months, but the latest candles show buyers pushing through it. Even so, one breakout candle does not guarantee a full trend reversal. Traders usually wait to see whether price can hold above the broken line and build continuation.
The 2022 comparison adds context. Back then, Bitcoin stayed under its broader downtrend for much longer before finally breaking out later in the year. Here, the suggestion is that BTC may be showing relative strength earlier in the cycle. If price holds above the trendline, the breakout could mark the start of a broader recovery phase. If it falls back below, the move may turn into a false breakout instead.
Bitcoin Monthly RSI Points to a Possible 2026 Bottom Zone
This BTCUSD monthly chart focuses on RSI behavior across multiple market cycles. Ted Pillows argues that Bitcoin’s monthly RSI could make another low in 2026, and he suggests that this is when the market will most likely form its next bottom.
BTCUSD Monthly Chart With RSI Cycle Bottom Comparison. Source: Ted Pillows on X
The chart shows a clear pattern in past cycles. Each major Bitcoin bear market bottom came as monthly RSI pushed into the low zone near or below 40. Those earlier bottoms are marked directly on the chart in 2015, 2018, and 2022. Now the current RSI is moving down again and is approaching that same area, which is highlighted on the far right.
That matters because monthly RSI is a long-term momentum indicator. It does not track short-term price swings. Instead, it helps show when broader market weakness may be reaching exhaustion. In previous cycles, deep RSI resets aligned with periods when Bitcoin was near major lows, even if price remained volatile around the bottom.
In this case, the chart suggests the current cycle may still need one more momentum washout before a final low is in place. If monthly RSI drops further and reaches the marked support zone in 2026, that would fit the pattern Ted Pillows is highlighting. Still, RSI alone does not confirm an exact bottom date. Price structure, macro conditions, and market reaction around that level would still matter before calling a full cycle low.
Source: https://coinpaper.com/16250/bitcoin-price-prediction-breakout-vs-2026-bottom-signal