RSI definition
Definition
Relative Strength Index, momentum indicator measuring overbought/oversold conditions
Developed by J. Welles Wilder Jr. in 1978, RSI ranges 0-100; readings above 70 suggest overbought conditions, below 30 oversold—effective for spotting reversals in volatile crypto charts. Calculation Formula: RSI = 100 - [100 / (1 + RS)]. RS: Average Gain / Average Loss. Period: Typically 14 days. Trading Signals: Divergence between price and RSI often precedes trend reversals.
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